Intel, Oracle, IBM and IonQ have joined the growing list of companies objecting to plans by crypto exchange OKX and NYSE parent Intercontinental Exchange (ICE) to offer blockchain-based versions of their shares. The four companies were named in an updated public notice dated Monday, October 26, from OKXICE, the two firms’ joint venture, bringing the total number of issuer objections to 26.
OKX and ICE logos (Credits: CoinDesk)
Intel, Oracle, IBM and IonQ Object to OKX-ICE Tokenized Stock Plans
The four tech firms join earlier objectors including Microsoft, Alphabet, Goldman Sachs, Cisco and Wells Fargo, according to CoinDesk. The growing list highlights a key hurdle for OKXICE and for the U.S. Securities and Exchange Commission’s new framework for tokenized stock trading: building a market that major issuers are actually willing to join.
Under the SEC’s five-year “Innovation Exemption,” qualifying venues can test round-the-clock blockchain-based trading of stocks. Crucially, the framework also gives public companies a 30-day window to block their shares from being offered, and a growing number of household names are using it.
Why Companies Are Opting Out of Tokenized Stocks
The objections may reflect a wait-and-see approach, industry experts told CoinDesk previously, with issuers seeking more clarity on shareholder protections and the benefits of tokenized trading before participating. For companies weighing whether blockchain-based trading adds value for their investors, the risks and unanswered questions appear to outweigh the appeal for now.
The OKXICE venture is preparing to test the SEC’s new framework, but each new objection narrows the pool of big-name stocks it can offer at launch. Whether that caution fades as the framework matures, or hardens into lasting resistance from corporate America, will be one of the key storylines for tokenized equities in the months ahead.
Also Read: Bitcoin Shows Signs of Weakness While Ripple’s Bank Win Fails to Bolster XRP | Brazilian Companies Turned to Stablecoins on Election Day to Dodge a Currency Crash
Source: CoinDesk — read the full story there.
