Amazon, Tesla and SpaceX have joined a growing list of companies opposing the tokenization of their shares on OKXICE, bringing the total number of objections to 56.
Summary
- Amazon, Tesla, SpaceX, Netflix, SoFi Technologies and Lam Research have joined the companies opposing OKXICE’s proposed tokenized stock trading platform, bringing total objections to 56.
- Of the 62 companies initially selected for trading, 49 have submitted objections, representing approximately 79% of the original list, while seven other objectors were outside that selection.
- Apple, Coinbase, Robinhood, Strategy and nine other companies had no disclosed objections as of November 2, although the SEC’s notification rules allow individual response deadlines to vary.
- OKXICE plans to offer round the clock trading in tokenized US equities through blockchain liquidity pools, with investors using stablecoins to settle transactions.
- OKXICE co-chairman Andrew Cuomo said some companies wanted to observe the platform before participating, while businesses outside the original selection had expressed interest in joining.
According to OKXICE’s November 2 public notice, Netflix, SoFi Technologies and Lam Research were the other three companies that recently objected to having their shares traded on the proposed blockchain-based stock platform.
The six new objections bring the total from 50 recorded in the October 30 update, with 49 of the 62 companies originally selected by OKXICE now opposing the arrangement.
The figure represents approximately 79% of the initial selection, while another seven companies that submitted objections were not part of the original list.
Five members of the Magnificent Seven, namely Amazon, Tesla, Nvidia, Microsoft and Alphabet, are among the companies that have objected.
OKXICE is a joint venture between cryptocurrency exchange OKX and Intercontinental Exchange, the parent company of the New York Stock Exchange. The platform plans to offer round-the-clock trading in tokenized US equities using stablecoins.
OKXICE faces objections from major US companies
The latest additions follow several rounds of objections from major technology companies, financial institutions and other publicly traded businesses throughout October.
As crypto.news previously reported, Nvidia, Nike, Costco, Micron Technology and Reddit were among 12 companies that appeared in the October 30 update.
Earlier objections came from JPMorgan Chase, Goldman Sachs, Walmart, McDonald’s, Broadcom, Verizon, Wells Fargo and several other established businesses.
The companies have not all publicly explained their decisions, although concerns surrounding stock pricing, liquidity and investor protection have featured in discussions about third-party tokenization.
Applied Optoelectronics, one of the earlier objectors, reportedly questioned how the arrangement could affect its share price, trading volumes and volatility.
The company expressed concern that investors might mistakenly believe it had approved or participated in a tokenized offering created independently of its business.
Under the Securities and Exchange Commission’s five-year innovation exemption, companies can prevent an unaffiliated third party from offering tokenized versions of their shares on a particular trading venue.
An objection does not prevent the company from participating in other tokenization arrangements or issuing its own tokenized securities.
Which companies have yet to object to OKXICE?
Despite the growing opposition, 13 companies from OKXICE’s original selection had no disclosed objections in the November 2 notice.
They include Apple, Strategy, Robinhood, Coinbase, Circle, Palantir, Super Micro Computer, ServiceNow, GE Vernova, Boeing, Home Depot, Securitize and BitGo.
Securitize and BitGo had previously told CoinDesk that they did not intend to object to the proposed trading arrangement.
The distinction between companies that have objected and those that remain on the original list is governed by the SEC’s notification requirements.
Under the exemption, issuers have 30 calendar days from receiving written notification to submit an objection against an unaffiliated venue.
For companies notified on October 4, the deadline fell on November 3, although individual deadlines depend on when each company received its notice.
Trading venues have another five business days to publicly disclose objections, meaning responses submitted near the deadline may appear in subsequent notices.
How would OKXICE’s tokenized stock platform operate?
According to the venture’s regulatory disclosures, OKXICE plans to use permissioned Uniswap v4 liquidity pools deployed on OKX’s X Layer blockchain.
Investors would trade tokenized shares against payment stablecoins such as USDC and USDG, with prices determined through automated market makers instead of a conventional stock exchange order book.
Before participating, users must complete identity verification, sanctions screening and wallet checks. Approved wallets receive a nontransferable credential that permits trading.
The proposed system requires an authorized tokenizer to hold underlying shares through a registered broker-dealer, with each token representing an entitlement to one share.
The SEC framework requires eligible tokens to preserve the economic and shareholder rights associated with the underlying securities.
The venue’s trading model remains subject to regulatory conditions, including restrictions on eligible securities and trading volumes.
A separate SEC exemption proposal from Perpetuals.com has pursued a similar route for blockchain-based US stock trading.
Meanwhile, Securitize has introduced 12 tokenized US stocks on Solana for eligible investors, including shares associated with Apple, Nvidia, Tesla, Microsoft and Amazon.
OKXICE leadership expects companies to reconsider
Andrew Cuomo, OKXICE’s co-chairman and former New York governor, addressed the objections during an October 30 press conference.
Cuomo said many companies preferred to observe how the platform operated before deciding whether to participate.
He suggested that familiarity with tokenization and its potential benefits could encourage more businesses to consider the arrangement.
“I think the more people become familiar with tokenization, and the more they see the benefits of tokenization, I think you’ll see more and more companies participate,” Cuomo said.
He described the project as being at the “very beginning” of introducing a fundamentally different market structure.
According to Cuomo, companies outside the original selection had approached the joint venture about potentially participating, although he did not identify them or disclose how many had expressed interest.
The former governor did not provide a confirmed launch date or specify how many tokenized stocks would be available when the platform begins trading.
