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Tesla, SpaceX, and Amazon Reject OKXICE Plan To List Tokenized Shares
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56 issuers object to OKXICE tokenized shares, comprising 49 of 62 initial objections (79%). Tesla, SpaceX and Amazon joined Netflix, Lam Research and SoFi among new objectors.
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OKXICE faces 56 objections
Tesla, SpaceX and Amazon joined Netflix, Lam Research and SoFi Technologies in formally rejecting OKXICE’s plan to list tokenized versions of their shares on the OKX-Intercontinental Exchange venue.
OKXICE’s updated public notice dated Nov. 2 put objections from companies in the venue’s original selection at 49 of 62, or about 79%, and it raised the total to 56 once seven objectors outside that list were counted.
The venue aimed to run a 24/7 blockchain venue for U.S. equities under the SEC’s five-year innovation exemption, and the same relief lets issuers block third-party tokenization.
CoinMarketCap said the Nov. 2 notice listed 56 companies that had objected to tokenized versions of their shares being made available on the venue, and it said the list had stood at 50 in the venue’s Oct. 30 notice.
OKXICE’s notice also framed the mechanism as a third-party token problem, with Markus Levin saying, "I read this as companies objecting to someone else tokenizing their stock rather than to tokenization itself."
SEC window and issuer power
OKXICE’s process hinged on a 30-day SEC objection window, with companies notified on Oct. 4 facing a Tuesday, Nov. 3 deadline to object.
The SEC’s innovation exemption let OKXICE proceed without registering as an exchange, but it also gave issuers the right to block third-party tokenization of their stock.
OKXICE’s notice said each token represents a security entitlement to one share held one-for-one by a broker-dealer, while the venue’s structure placed the entitlement behind a self-custodial wallet.
CoinMarketCap reported that the notices did not say why the companies objected, even as it said the venue planned to run trades through permissioned automated market maker pools on XLayer.
The venue’s public notice also stated, "As of the date of this Notice, OKXICE TSV has received a Notice of Issuer Objection from the following issuers," as it listed the objecting issuers.
What OKXICE can still do
OKXICE’s objections did not shut down tokenization entirely, because the framework barred only third-party tokenized versions of a company’s shares while leaving room for issuers to tokenize their own shares. Cointelegraph described the objection as a 30-day right that "effectively keeps those tokens off the venue," while it said the objection applied to the venue rather than to tokenization generally. DiarioBitcoin said the objections blocked third-party tokens but "do not prevent companies from issuing their own shares," and it said OKXICE could still list shares tokenized by the issuers themselves.
CoinMarketCap added that the venue said it neither it nor any affiliate issues or tokenizes the tokenized stocks it makes available, and it said OKXICE would operate 24 hours a day, seven days a week. As the list of objectors expanded to 56, the project’s next step remained tied to the SEC exemption and the venue’s ability to list only within the limits described in the notice, including caps on symbols and trading volume.