On August 4, 2025, the MyStonks platform officially launched its Merkle Tree feature. Leveraging this advanced technology, the platform has taken a significant step forward in on-chain asset transparency and data verifiability. Users can now independently verify their personal asset records and platform-wide asset snapshots in real time, ensuring that all asset transactions and changes are fully traceable on the blockchain.
This feature breaks the reliance on third-party trust mechanisms, presenting users with authentic and unforgeable proof of assets, significantly enhancing the platform's transparency and user trust. By making all asset evidence publicly traceable and verifiable, MyStonks has established industry-leading standards for asset transparency and security.
The "Merkel Tree" feature supports independent audits by institutions, communities, and regulatory partners, effectively meeting international compliance and audit requirements and further promoting compliance upgrades within the platform ecosystem. This technology launch marks a solid strategic step forward for MyStonks in innovative financial technology and compliance governance.
Merkle tree technology principle
A Merkle tree is a hierarchical structure that uses cryptographic hashing algorithms to protect data integrity. It is widely used in blockchain and distributed systems. It can be compared to the complex, multi-layered package acceptance system in an e-commerce warehouse. Imagine a warehouse manager facing tens of thousands of small packages and having to ensure the safe and accurate delivery of each one. However, since unpacking and inspecting each package individually is impractical, he affixes a digital barcode to each package. This barcode contains an encrypted summary of all the package information.
Next, several small packages are placed into a larger transit box. The box's own barcode is calculated from the barcodes of all the small packages within. Then, a larger cabinet containing multiple transit boxes generates a barcode using the same calculation. This multi-level packaging process continues, ultimately forming a unique "master authentication code" for the entire transportation chain. If a customer has questions, they can quickly verify the authenticity and integrity of the goods and pinpoint any issues by simply checking the barcode link associated with the target package, without having to open all the packages. This multi-layered barcode verification is the essence of the Merkle tree.
MyStonks employs similar technical logic, cryptographically hashing each asset and data block, and then aggregating them in layers to generate the platform's "total asset authentication code," ensuring data immutability and efficient verification. Users and regulators can quickly and independently verify the reliability of asset information simply by referring to the relevant hash path and root hash. This not only significantly improves the security and transparency of on-chain asset data, but also reduces the time and resource costs of data verification.
MyStonks adheres to compliant development and establishes a global multi-license system
As an industry-leading digital asset platform, MyStonks has consistently prioritized compliance and user asset security since its inception. In July 2025, the company successfully obtained a MSB license from the U.S. Financial Crimes Enforcement Network (FinCEN), laying a solid foundation for compliant operations in the United States and related regions. MyStonks is also actively expanding into the European market, participating in EU cryptoasset market regulation projects and promoting compliance pilots for distributed ledger technology, aiming to ensure a close integration of technological innovation and regulatory compliance.
Furthermore, MyStonks has developed a global compliance expansion strategy, applying for and preparing virtual asset service licenses in key regions such as Hong Kong, Singapore, and Dubai, building a multi-tiered licensing network spanning the Americas, Europe, Asia Pacific, and the Middle East. This strategy effectively supports the company's global expansion of its diverse business and strengthens its risk management and compliance operations. The launch of the Merkle Tree feature is a key component of its technical compliance governance strategy, significantly enhancing the on-chain transparency and auditability of platform assets, creating a virtuous cycle of mutually reinforcing compliance and technological innovation.
Leading the new era of digital finance and building a trustworthy asset ecosystem
With the booming global digital economy and blockchain technology, asset transparency and data credibility have become fundamental to the healthy and stable development of the industry. MyStonks has strengthened its core competitiveness in asset security, data disclosure, and compliance auditing by launching the Merkle Tree feature. This technology enables users to efficiently verify asset authenticity without third-party involvement, significantly enhancing the platform's credibility and user engagement. Going forward, MyStonks will continue to uphold its innovation-driven and compliance-first development philosophy, delving deeper into blockchain technology and the digital asset ecosystem, continuously improving its compliance system, and driving the digital financial industry towards greater security, transparency, and inclusiveness.
