Intel, IBM, Oracle, and IonQ Join List Opposing OKX-ICE Tokenized Stock Listings

In a recent update regarding the proposed OKXICE exchange, OKX revealed that Intel, IBM, Oracle, and IonQ have now joined the growing number of companies opposing the idea of listing their US stocks in tokenized form. This brings the total number of objecting companies to 26, including notable names such as Alphabet, Wells Fargo, and Goldman Sachs.

This proposal emerged shortly after the US Securities and Exchange Commission (SEC) granted temporary innovation exemptions allowing Tokenized Securities Venues (TSVs) to facilitate limited trading of tokenized stocks that are part of the National Market System (NMS).

A significant number of companies rejecting participation in the OKXICE initiative already maintain active listings on established exchanges like Nasdaq and the New York Stock Exchange. Notably, in September, Nasdaq issued advisory guidance for issuers considering the innovation exemption, urging caution. Additionally, Nasdaq made a strategic $100 million investment in Payward, Kraken's parent firm, as part of its own entry into tokenized assets.

When filing with the SEC under the innovation exemption, OKXICE proposed tokenized stock listings for 62 companies; however, around 41% have declined to participate as of the recent update. Andrew Cuomo, former New York Governor and co-chair of the tokenization project, characterized these objections as a "very natural response" and anticipated more companies would add their names to the list.

The growing number of objections highlights the cautious stance many established firms hold towards the tokenization of stock listings, underscoring the challenges faced by emerging tokenized securities markets.