PARIS (Reuters) -Blockchain-based assets which provide exposure to equities could lead to "investor misunderstanding", as they typically do not make the buyer a shareholder in the underlying company, the European Union's securities watchdog said on Monday.

So-called tokenised stocks are a type of blockchain-based asset which are linked to the price of a share in a public company. Broker Robinhood has launched tokenised stocks in the EU while crypto exchange Coinbase is also making a push into the nascent sector.

The European Securities and Markets Authority (ESMA) executive director, Natasha Cazenave, said at a conference in Dubrovnik that several fintech firms had developed offerings that give investors exposure to listed shares or blockchain-based derivatives backed by corporate stock that is held through special purpose vehicles. She did not name individual companies.

"These tokenised instruments can provide always-on access and fractionalisation but typically do not confer shareholder rights," Cazenave said in a speech published on ESMA's website.

"...this can create a specific risk of investor misunderstanding and underlines the need for clear communication and safeguards," she said.

ESMA's concerns echo the World Federation of Exchanges, which last week called on securities regulators to clamp down on tokenised stocks, saying that they create new risks for investors and could harm market integrity.

Crypto enthusiasts say tokenisation will change the underlying infrastructure of financial markets, by allowing assets such as bank deposits, stocks, bonds, funds and even real estate to be traded as blockchain-based tokens.

Cazenave said tokenisation could bring efficiency gains but "most tokenisation initiatives remain small and largely illiquid" so far.

(Reporting by Elizabeth Howcroft; Editing by Tommy Reggiori Wilkes and Ros Russell)