Nvidia, Nike, Costco and Reddit are among a growing roster of US-listed companies that have formally objected to OKXICE, a planned 24-hour stock trading venue jointly owned by Intercontinental Exchange, the parent company of the New York Stock Exchange, and OKX's US holding company. Under the applicable US Securities and Exchange Commission (SEC) framework, issuers can block third-party tokenized versions of their shares by filing objections within a specified period. OKXICE submitted its proposed list of 63 ticker symbols representing 62 companies on October 4. The dispute highlights the tension between issuers' control over how their shares trade and crypto venues' push to offer US stocks around the clock.

Five of OKXICE's Eight Showcase Stocks Have Objected

The latest objections mean five of the eight companies OKXICE highlighted as potential launch stocks in mid-October have rejected the proposed arrangements. That group originally included Nvidia, Apple, Microsoft, Amazon, Alphabet, Tesla, JPMorgan Chase and Walmart. Apple, Amazon and Tesla have not objected so far.

Crypto-related companies Coinbase, Circle and Robinhood also remain among the potential listings. Their continued presence on the list does not necessarily indicate support for OKXICE, as some companies may still be within their objection periods.

The total of 50 objecting issuers is higher than the 44 original ticker symbols removed because seven companies, including Wells Fargo and Arm Holdings, were not included on the initial list. Alphabet also accounts for two ticker symbols, as its filing covers both of its share classes. The pattern shows how the objection mechanism can reshape a proposed venue's lineup before any token changes hands.

Objections Have Expanded Beyond Technology Stocks

OKXICE's first public notice, dated October 15, identified nine issuers, including Broadcom, CoreWeave and Verizon. The number of objections passed half of the original roster on October 27, when JPMorgan Chase, Coca-Cola, AMD and Dell were added in a single update.

The latest group also includes companies from outside the technology sector, such as CrowdStrike, Corning, Bloom Energy and USA Rare Earth, alongside consumer brands and semiconductor manufacturers. According to the report, the most recent wave of objections includes Nvidia, Nike, Costco and Reddit.

SEC Framework Gives Companies a 30-Day Objection Window

The issuer veto is part of the SEC's Innovation Exemption, issued on September 17. The framework exempts qualifying tokenized securities venues from registering as stock exchanges for five years, provided they operate through automated market makers on a public blockchain.

Unlike a traditional exchange such as the NYSE, an automated market maker does not match buy and sell orders directly. Instead, it uses a liquidity pool containing a tokenized share and a stablecoin, with prices determined by the ratio between the assets.

Because OKXICE plans to create tokens without direct involvement from the companies whose shares they represent, SEC Release No. 34-106402 requires the venue to notify each issuer in writing. Trading cannot begin until 30 calendar days after a company receives its notice, and an objection submitted within that period removes the stock from the proposed venue. An SEC staff FAQ published on October 20 clarified that tokenized shares cannot trade while the applicable objection window remains open.

OKXICE has structured its proposed platform around the exemption's requirements. It plans to use permissioned Uniswap v4 liquidity pools on X Layer, OKX's blockchain network, with tokenized shares paired against USDT, USDC and USDG stablecoins. Each token would be backed one-for-one by a corresponding share held at an SEC-registered broker-dealer, while access would be limited to verified wallets.

Companies Raise Concerns About Pricing and Investor Confusion

Most companies that filed objections have not publicly explained their decisions. Applied Optoelectronics was an exception, saying it could not predict how tokenized trading might affect its share price, liquidity and volatility. The company also expressed concern that investors could interpret the tokens as an endorsement and said it saw no benefit sufficient to offset the risks.

Round-the-clock trading presents a potential pricing challenge when conventional US stock exchanges are closed. On a Saturday, for example, a token's market price would be determined by transactions within its liquidity pool. Significant news over the weekend could cause that price to diverge from the underlying stock's value by the time regular markets reopen on Monday.

The SEC has acknowledged that potential price discrepancies and difficulties maintaining accurate shareholder records can provide reasonable grounds for an issuer to object to tokenization under the framework — records that matter beyond trading because they support corporate actions such as dividend payments and shareholder votes.

Nasdaq Supports a Different Tokenization Model

Nasdaq plans to keep its own shares outside the framework. The exchange has argued that venues operating under the exemption do not provide the best available prices in real time or report transactions to the consolidated tape, the public record of US stock trades. Instead, Nasdaq is advancing its own SEC-approved model, under which tokenized stock transactions would remain on the exchange.

The exchange has also faced allegations that it encouraged listed companies to file objections against third-party tokenization. Of the first 38 objecting issuers, 23 trade on Nasdaq, although the exchange has not confirmed that it coordinated an effort to block the proposed listings.

The split leaves the two major US exchange groups on opposite sides of how tokenized stocks should operate: NYSE's parent is behind the exemption-based venue, while Nasdaq is pressing to keep tokenized trades within traditional exchange reporting.

November 3 Is the Earliest Possible Start, Not a Confirmed Launch

November 3 falls 30 days after OKXICE published its first notice, making it the earliest date the venue could potentially begin operating under the timeline described in the filings. However, each company's objection period begins when it receives its individual notice, and those receipt dates have not been made public.

As a result, objections could continue after November 3. OKXICE has not announced a confirmed date for the start of live trading.

Issuer-Tokenized Stocks Offer an Alternative

TSV LLC was the first entity to notify the SEC of plans to operate a venue under the exemption. Its proposed model lists only stocks that companies tokenize themselves through their transfer agents — the firms responsible for maintaining official shareholder records. Because the issuers initiate the tokenization, this approach does not trigger the same objection process.

OKXICE may also list shares tokenized directly by their issuers. The growing number of refusals could give the venue an incentive to negotiate with companies rather than rely exclusively on third-party tokens.

Offshore products, including Kraken's xStocks, operate outside the SEC veto described in the framework. That means Nvidia shares can still be traded around the clock through a tokenized product abroad, even though the same type of third-party token cannot be listed on a US-regulated venue if the issuer has successfully objected.

SIFMA Seeks Broader Issuer Opt-Out Rights

The Securities Industry and Financial Markets Association (SIFMA), the principal trade group representing US banks and brokers, has asked the SEC to expand companies' ability to reject third-party tokenization. In a comment letter filed on October 19, the organization proposed allowing issuers to submit a single standing opt-out covering all venues and to object even after the initial 30-day period has expired.

If the SEC adopts those changes, companies could potentially withdraw the 19 symbols that remain available to OKXICE, including Apple, even after their original objection deadlines have passed.

How the SEC responds to that letter, whether further issuers object as their notices arrive, and whether OKXICE confirms a launch date remain the open questions shaping the venue's final scope.

Source: Hokanews, via crypto-news-flash. Original reporting by Ethan Collins.