JPMorgan, Coca-Cola Among 7 More Companies Objecting to OKX-ICE Tokenized Stocks
JPMorgan Chase and Coca-Cola are among seven companies objecting to trading their shares on the OKX-ICE tokenized stock venue, according to a notice dated October 27.
The venue, a 50-50 joint venture between NYSE owner Intercontinental Exchange and OKX’s U.S. holding company, plans to let approved users trade tokenized U.S. stocks 24/7 through permissioned Uniswap v4 pools on OKX’s XLayer blockchain, paired with stablecoins like USDC.
The latest objections from JPMorgan, Coca-Cola, Dell, AMD, Adobe, Applied Materials, and Sandisk bring the total to 33, up from 26 a day earlier. The list has grown quickly, standing at nine on October 15, 16 on October 19, and 22 on October 23.
Earlier objectors include Microsoft, Alphabet, Goldman Sachs, Wells Fargo, Intel, and Oracle. JPMorgan is the third major bank to object, after Goldman and Wells Fargo.
Under the SEC’s innovation exemption, a timely objection bars the venue from listing a third-party tokenized version of a company’s stock, though other venues aren’t affected.
SEC Exemption Rules
The SEC’s innovation exemption, unveiled in September after the Clarity Act stalled in the Senate, requires a venue to notify a company before offering a tokenized version of its shares by an unaffiliated third party.
If the company objects in writing within 30 days, the venue cannot make that stock available for trading. The objection applies only to that venue, and the notices have not disclosed the companies’ reasons.
OKXICE’s original October 4 notice proposed 63 tokenized stocks from 62 companies, and several objectors, including Wells Fargo and Arm, were not on that initial roster. Some of the biggest names, including Nvidia, Tesla, Apple, and Amazon, have not objected so far.
Earlier notices warned that it is uncertain whether tokenized shares in self-custodied wallets would be covered by the Securities Investor Protection Corporation if the tokenizer’s broker-dealer failed.
Competing Pilots
OKX and ICE first teamed up on tokenized securities earlier this year before announcing the 24/7 venue this month. Nasdaq, which won SEC approval for its own tokenized securities pilot, has said it will opt its shares out of the exemption.
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