Wells Fargo, Arm Holdings, Intuit and 19 other companies have opposed OKXICE’s plan to trade tokenized shares, raising challenges for the crypto platform. Six additional companies recently objected to the venture between crypto exchange OKX and Intercontinental Exchange (ICE), bringing the total to 22, according to reports.
The objections highlight potential hurdles for platforms seeking to bring traditional stocks onto blockchain networks. They also raise questions about how tokenization services can proceed when companies reject the listing of their shares.
Companies Challenge Tokenization Plans
OKX and ICE planned to tokenize 63 stocks through their OKXICE venture. However, the platform’s proposed rules prevent companies’ shares from being listed if the issuers formally object.
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Wells Fargo declined to comment, while representatives for Arm and Intuit did not immediately respond to requests for comment. A regulatory filing reportedly identifies 22 companies opposing the initiative.
SEC Exemption Sets Listing Rules
Earlier this month, OKX and ICE asked the US Securities and Exchange Commission to launch tokenized stocks under a new innovation exemption.
The exemption allows qualifying platforms to operate without meeting certain traditional stock exchange requirements. However, platforms must notify companies before listing their tokenized shares and cannot proceed when issuers object.
Crypto firms argue that tokenization could enable round-the-clock trading and faster settlement. The opposition, however, highlights a key limitation: regulatory flexibility may not be enough to secure issuer participation in blockchain-based stock markets.
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