Amazon, Tesla and SpaceX Push Back Against OKXICE
Netflix, SoFi, and Lam Research are also joining the pushback against OKXICE, which wants to trade tokenized U.S. stocks with stablecoins. The SEC innovation exemption makes the project especially sensitive.
Key Takeaways
- Amazon, Tesla, and SpaceX have objected to the OKXICE platform for tokenized stocks.
- The number of known objections has risen to 56, while 49 of the 62 selected companies have now objected.
- OKXICE has not yet announced a launch date, and 13 original companies have still not filed a public objection.
Amazon, Tesla, and SpaceX have objected to the blockchain platform for tokenized stocks that crypto exchange OKX and Intercontinental Exchange are building together. That adds to the list of opponents, even as the deadline for some stock issuers gets closer.
More Companies Say No
The updated public notice from Monday, November 2 also includes Netflix, SoFi Technologies, and Lam Research. That brings the number of known objections to 56, up from 50 in Friday's update. Of the 62 companies OKXICE initially selected for trading, 49 have now objected, equal to nearly 79%.
The project wants to let investors trade tokenized versions of U.S. stocks around the clock on a blockchain venue, using stablecoins as the payment method. The plan falls under the SEC's five-year innovation exemption, which allows certain marketplaces to work with Automated Market Makers instead of a traditional order book. Earlier, the first wave of objections already created heavy pushback against the plan, when Nvidia, Costco, and Nike pushed back against the same setup.
Why Companies Are Objecting
The growing list shows how cautious many issuers still are about the experiment. Supporters point to longer trading hours and faster settlement, but companies want to first see how a market like this works in practice and what it means for their shares and shareholder rights.
Under SEC rules, companies have 30 days after a written notice to object. For issuers that received a notice on October 4, that deadline would expire on Tuesday, November 3. At the same time, the deadline runs separately for each company from the moment it receives its individual notice, so not everyone has the same end date.
No Launch Date Yet
Of the original selection, 13 companies have not yet filed a public objection, including Apple, Strategy, Robinhood, Coinbase, Super Micro Computer, Palantir, Circle, ServiceNow, GE Vernova, Boeing, Home Depot, Securitize, and BitGo. Securitize and BitGo had already said earlier that they did not plan to object.
OKXICE co-chair Andrew Cuomo said Friday that many companies want to wait and see how the market works before joining in. He also said companies outside the original selection have already reached out, but he did not name any names or give any numbers. He did not provide a launch date, and he also did not say how many stocks would be available at launch.