An executive from a Nasdaq listed firm alleges that a representative urged the company to reject the listing of its shares on a new digital trading platform proposed by OKX and Intercontinental Exchange. The number of issuers opting out of the planned OKXICE venue has grown to 38 of the 62 companies originally named, meaning more than half of the project’s intended lineup has now moved to block the tokenization of its stock. The firm notified the SEC on Oct 4 that it intended to offer the shares on the X Layer blockchain, giving companies a 30 day window to object under a regulatory innovation exemption.
Andrew Cuomo stated that companies can continue to block their inclusion on the venue on a rolling basis with no specified end date. While firms such as Walmart and JPMorgan have rejected this specific venue, some remain open to the technology; Microsoft and Alphabet have previously tokenized shares through the provider Securitize, and JPMorgan operates its own blockchain unit, Kinexys. The venue’s struggles reflect a broader tension in the market, with some firms opposing third party tokenization while attempting to build their own proprietary on chain rails.