What Is TSMC Tokenized bStocks ($TSMB)? Pros, Cons, and How to Buy on Tokocrypto – Tokocrypto

TSMC Tokenized bStocks ($TSMB) is a tokenized version of Taiwan Semiconductor Manufacturing Company stock (NYSE: TSM) that Indonesian investors can buy directly through the Tokocrypto app 24 hours a day, without needing a U.S. brokerage account. This article explains what TSMC is, the advantages and disadvantages of $TSMB, things to consider when trading in Indonesia, and a step-by-step guide on how to buy it.

What Is Taiwan Semiconductor Manufacturing Company (NYSE: TSM)?

Taiwan Semiconductor Manufacturing Company (TSMC) is a semiconductor foundry based in Taiwan and headquartered in Hsinchu. Founded in 1987, TSMC pioneered the pure-play foundry business model—manufacturing only chips designed by other companies, without selling chips under its own brand. As a result, nearly all of the world's major technology companies—Nvidia, Apple, AMD, Qualcomm, Broadcom, and MediaTek—manufacture their chips at TSMC.

Here are key facts about TSMC:

Ticker: TSM (NYSE, ADR)
Sector: Semiconductor foundry / chip manufacturing
HQ: Hsinchu, Taiwan
Founded: 1987
Global foundry market share: Approximately 70% (ranked #1 worldwide)
2025 revenue: Approximately $122.4 billion (up 35.9% YoY)
2025 EPS: $10.65 (up 51.3% YoY)
Dividend: Paid quarterly

TSMC is the foundation of the global AI industry. Its 3nm and 5nm chips are used in AI servers, GPUs, and high-performance computing (HPC), which account for the majority of the company's revenue. As nearly every AI company in the world—from Nvidia to new chip startups—needs advanced manufacturing capacity, TSMC is the company that produces it.

What Is $TSMB (Tokenized Stocks/bStocks)?

$TSMB is a tokenized version of TSMC stock (NYSE: TSM) traded on crypto platforms. Each $TSMB token reflects the economic value of one share of TSM stock, so the token's price rises and falls in line with the movement of the underlying stock.

On Tokocrypto, $TSMB is part of the bStocks or tokenized stocks category. For Indonesian investors, this is an easy way to gain exposure to a global chip giant without opening an overseas brokerage account. In addition, $TSMB can be traded 24/7, offering much greater flexibility than NYSE trading hours.

Advantages of $TSMB

1. Exposure to the Company at the Center of the AI Economy

TSMC's 3nm and 5nm chips are the backbone of the world's AI servers and HPC systems. Nearly all advanced chip designs—Nvidia, Apple, AMD, Qualcomm, and Broadcom—are manufactured at TSMC. As demand for AI continues to grow, TSMC holds an almost irreplaceable position in the AI supply chain.

2. Market Dominance and Strong Revenue Growth

With approximately 70% of the foundry market and 2025 revenue of approximately $122.4 billion (up 35.9% YoY), TSMC is a market leader with virtually no peer-level competitors. 2025 EPS grew 51.3% to $10.65, and management is targeting sales growth of more than 30% in 2026, driven by AI, 5G, and HPC.

3. Pays Dividends Quarterly

Unlike many technology stocks benefiting from the AI economy that do not pay dividends, TSMC pays dividends quarterly. For investors seeking AI exposure with a more stable profile, this is an added benefit.

4. 24/7 Trading on Tokocrypto

TSM stock on the NYSE only moves during U.S. market hours. With $TSMB on Tokocrypto, you can trade anytime, 24/7, including in response to AI news and company financial reports released outside U.S. market hours.

5. Access Without a U.S. Broker

Opening a U.S. brokerage account typically requires complicated documentation, dollar transfers, and high fees. With $TSMB on Tokocrypto, simply register, complete KYC, deposit rupiah, and buy—all from the app, even with a small amount.

6. Sufficient Liquidity in the Crypto Market

As one of the more popular bStocks, $TSMB has fairly good liquidity on Tokocrypto, making it easier to buy and sell in small to medium amounts.

Disadvantages of $TSMB

1. Taiwan Geopolitical Risk

Most of TSMC's advanced production remains concentrated in Taiwan, a flashpoint for U.S.–China tensions. A blockade, conflict, or escalation of tensions in the Taiwan Strait could disrupt global chip production and significantly affect TSMC's operations and valuation. This is the primary risk most often highlighted by analysts.

2. Export Controls and U.S.–China Regulatory Pressure

U.S. restrictions on advanced chip exports to China could reduce TSMC's China-related business and add regulatory friction. In addition, tariff policies and incentives for local production (such as U.S. and European chip incentives) could pressure margins over the long term.

3. High Global Expansion Costs

To reduce its concentration in Taiwan, TSMC is building capacity in the U.S. (Arizona), Japan (Kumamoto), and Germany (Dresden). This expansion is expensive and adds to the cost structure, while potentially putting pressure on the margins that have historically been one of TSMC's competitive advantages.

4. Competition from Intel and Samsung

Intel and Samsung continue to invest heavily to catch up in advanced manufacturing, with additional support from the governments of the U.S., Europe, Japan, and South Korea. Over the long term, this could erode TSMC's dominance and margins, although TSMC is still well ahead in yield and capacity.

5. Valuation Already Reflects High Expectations

TSM stock reached a 52-week high in 2026, and its valuation already reflects high expectations for AI growth. If execution or AI demand weakens, the price correction could be sharp.

6. Tokenized Stock Regulatory Risk

Regulations regarding tokenized stocks are still developing. Policy changes in the U.S., Indonesia, or internationally could affect the availability and trading of $TSMB in the future.

Things to Consider When Trading $TSMB in Indonesia

1. Monitor Geopolitical Issues and Taiwan News

Any escalation of tensions in the Taiwan Strait, new export sanctions, or news about TSMC fabs could significantly move the price of $TSMB. Monitor geopolitical news and TSMC's quarterly guidance—these are key price drivers for the stock, not merely peripheral issues.

2. Pay Attention to U.S. Market Hours vs. 24/7 Trading

The $TSMB token trades 24/7, but the underlying stock only moves when the NYSE is open (9:30 p.m.–4:00 a.m. WIB). Outside those hours, the token's price moves based on market expectations and may diverge from the underlying stock price. This difference adds risk when trading outside U.S. market hours.

3. Watch Financial Reports and Management Guidance

Quarterly earnings reports and management guidance can cause extreme price movements. Check TSMC's earnings calendar before opening a large position, and consider using a smaller position size ahead of major releases.

4. Manage Risk with Position Sizing

Because the $TSMB token combines the volatility of TSM stock with the volatility of the crypto market, use a position size that matches your risk tolerance. Avoid putting all your funds into one asset, and consider using a stop-loss to limit losses.

How to Buy $TSMB on Tokocrypto

Step 1: Register & Complete KYC

Open the Tokocrypto app or website, click "Register," and enter your personal information (name, email, and phone number). After verifying your email and phone number, complete the KYC (Know Your Customer) process by uploading a photo of your ID card and a selfie. The verification process is usually completed within a few hours to 1×24 hours.

Step 2: Deposit

After your account is verified, deposit rupiah using methods such as QRIS, an e-wallet, or a bank transfer, with a minimum of IDR 10,000. If your balance is still in IDR, convert it to USDT first through the Buy/Sell feature on Tokocrypto.

Step 3: Buy via Buy/Sell or the Market

There are two ways to buy $TSMB on Tokocrypto. The first way is through the Buy/Sell feature—search for $TSMB, enter the amount you want to buy, and confirm. The second way is through the Market (Spot Trading)—open the Market menu, search for the $TSMB/USDT pair, select Market Order for an instant purchase or Limit Order for a specific target price, enter the amount, and click Buy.

Step 4: Monitor

After the purchase is completed, $TSMB will be added to your Tokocrypto wallet. Monitor price movements through the Tokocrypto app or a charting platform such as TradingView. Because $TSMB is strongly influenced by AI news and Taiwan's geopolitics, stay up to date with developments in the global semiconductor industry.

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Disclaimer

Investing in crypto assets carries a high level of risk. All investment decisions made based on recommendations, research, and information are entirely the user's responsibility. No government institution or authority is responsible for these investment risks. This content is for informational purposes only and does not constitute an invitation to sell or buy.

Tokocrypto is a crypto exchange platform licensed and supervised by the Financial Services Authority (OJK).