9 U.S. companies object to tokenized trading of their shares on OKX ICE
Key Facts
9 publicly listed U.S. companies have objected to tokenized versions of their shares being traded on the proposed OKX ICE platform, among objections disclosed during October 2026. A written objection submitted within the specified deadline bars the platform from offering the stock concerned under the U.S. Securities and Exchange Commission's exemption, according to the commission's order. The objecting companies include Cerebras Systems, AppLovin, Applied Digital, Rocket Lab, CoreWeave, Verizon Communications, Applied Optoelectronics, Broadcom and UnitedHealth Group. The platform's previous notice, dated October 8, 2026, recorded objections from Cerebras Systems, AppLovin, Applied Digital and Rocket Lab. The latest list thus adds other companies to the names included in that notice.
Applied Optoelectronics' objection stemmed from uncertainty over tokenization's impact on its share price, liquidity and volatility, according to a statement to the Wall Street Journal cited by The Block. Nasdaq, for its part, warned that trading outside the national market system could undermine "transparent price discovery." Nasdaq's concerns also included fair access to market data under this arrangement. Nasdaq said in its official frequently asked questions that it intends to exclude its shares from trading on tokenized securities platforms covered by the regulatory framework. It clarified that a company's objection applies to the specific platform that sent it the notification and does not constitute a blanket exclusion of its shares from all such platforms.
The venture operating the OKX ICE platform is owned equally by Intercontinental Exchange Holdings and OKC USA Holding, according to the venture's official notice. Each partner holds a 50% stake in the joint venture. The platform intends to operate 24 hours a day, 7 days a week, according to its announced operating plans. Its proposed infrastructure relies on Uniswap version 4 liquidity pools deployed on the X Layer network, according to its initial notice. The platform pairs tokenized shares with one of the stablecoins USDC, USDG or USDT under the proposed trading mechanism.
The tokenization model requires the tokenizing entity to hold the underlying shares backing outstanding tokens, according to the platform's initial notice. These shares are held through a registered broker, with one share for each outstanding token. Participants must pass identity and anti-money laundering checks before being approved to trade. The onboarding procedures also include sanctions screening and checks on the wallet used, according to the terms announced in the same notice. Once the checks are passed, a non-transferable token is issued to the approved wallet, under a model that makes participation conditional on completing prior verification.
These markets operate under a temporary, conditional exemption issued by the U.S. Securities and Exchange Commission that allows eligible platforms to trade without registering as exchanges under the definition covered by the exemption. The framework requires tokenized shares to give holders the same rights and privileges as conventional shares of the equivalent class. It also requires the platform to halt trading in a tokenized stock whenever trading in the underlying stock is halted on its primary listing exchange. The smart contracts used must be auditable and public, and deployed on a public distributed ledger whose network does not require permission to participate. The commission's chair affirmed that "the anti-fraud and anti-manipulation provisions of the federal securities laws remain fully applicable" to these markets' activities.
Before trading can begin, the commission's order requires a wait of at least 30 calendar days from the date a company receives the platform's notification when tokenization is carried out by an unaffiliated party. The order also requires the platform to amend its public notice within 5 business days to disclose receipt of the company's objection. The exemptions governing this activity took effect on September 17, 2026, according to the regulatory text. The order sets September 17, 2031, as their expiration date, with trading during this period remaining subject to its conditions. The commission retains the authority to amend the exemptions while they are in force.