The Nasdaq-listed company is putting its 14% dividend preferred shares onchain through xStocks, aiming at non-US investors
DeFi Development Corp. (Nasdaq: DFDV) has taken its preferred stock, CHAD, and put it on the blockchain. The tokenized version, called CHADx, now lives on 10 public blockchains, including Solana.
The company announced the launch on November 11, 2026. CHADx is built in partnership with xStocks, and the tokens are issued by xStocks entities.
How CHADx works
Each CHADx token represents one CHAD share on a 1:1 basis. Those underlying shares sit in custody, and the tokens are backed by them.
CHADx does not give holders ownership rights in the underlying shares. It does not give them voting privileges either. Token holders get economic exposure, not a seat at the shareholder meeting.
CHADx tokens are designed to automatically reflect CHAD’s daily dividends. Holders do not need to claim a payout or route it through a brokerage account.
CHAD’s dividends are cumulative and payable daily when declared. Effective November 2, 2026, the annual dividend rate rose to 14%. On the stated amount of $10 per share, that works out to $1.40 per share each year.
Cumulative dividends carry a specific promise. If a payment is skipped, it piles up and must be settled before common shareholders see a dime.
Who it’s for, and the rules it follows
CHADx is not aimed at the average US retail trader. The product operates under SEC Regulation S, which covers securities offerings made outside the United States. It also relies on a prospectus approved in the European Union.
CHADx supports minting and redemption using stablecoins once investors clear KYC checks. Verified users can swap stablecoins for new tokens or redeem tokens back into stablecoins, outside traditional brokerage rails.
CEO Joseph Onorati framed the tokenization as a natural next step in the company’s capital markets strategy. He described the goal as bringing traditional public equity together with blockchain technology.
A quick history of CHAD
CHAD itself is a fairly new security. DeFi Development Corp. launched the preferred stock through a public offering in September 2026.
In that offering, the company sold 1.375 million shares at $8 each. The raise brought in approximately $11 million.
By mid-September 2026, CHAD’s notional value had reached approximately $15.81 million.
The price math is also worth noting. Shares sold at $8 against a $10 stated amount, while the 14% dividend is calculated on that $10 figure. Buyers who came in at the offering price are therefore earning a higher effective yield on what they actually paid.
What this means
Tokenizing CHAD expands access beyond traditional brokerage channels and opens the security to a wider investor base.
For investors, the structure deserves careful reading. CHADx offers dividend exposure and onchain portability. It does not offer ownership or voting rights. There is also counterparty exposure to weigh. Tokens issued by xStocks entities and backed by custody-held shares depend on those intermediaries doing their jobs.
Disclosure: This article was edited by Vivian Nguyen. For more information on how we create and review content, see our Editorial Policy.