Tokenized equity trading faces major industry objections
The latest in this situation
- Major tech and financial firms, including Microsoft, CoreWeave, and Broadcom, are objecting to tokenized stock trading on ICE/NYSE platforms.
- The venue's operation is supported by an SEC innovation exemption and AMM models.
- Broadcom and Applied Optoelectronics object to the OKX-ICE tokenized stock listing, and Nasdaq opts out of the framework.
- Broadcom and Verizon object to OKX-ICE tokenized listing; Broadcom shares drop amid Nasdaq sell-off.
- Strategy is utilizing OKX and Intercontinental Exchange for tokenized stock trading.
How it started
Regulatory Approvals Drive Tokenized Asset Trading Initiatives on NYSE and Nasdaq
What happened
The US Securities and Exchange Commission approved Nasdaq's pilot proposal on March 18 to support the trading of tokenized versions of high-volume stocks and securities. Separately, the New York Stock Exchange partnered with Securitize on March 24 to develop blockchain-based trading infrastructure for tokenized shares and exchange-traded funds. This initiative is part of Intercontinental Exchange's larger plan for a tokenized securities venue offering 24/7 trading, instant settlement, and stablecoin-based funding.
From cointelegraph.com
Why it matters
The developments signal a major shift toward digital asset infrastructure within traditional finance. The initiatives aim to integrate tokenized assets into established markets like the NYSE and Nasdaq. This expansion into tokenized securities venues attracts significant investment, as demonstrated by Digital Asset Holdings raising $355 million at a $2 billion valuation.
From cointelegraph.com
Who's involved
- New York Stock ExchangeAmerican stock exchange partnered with Securitize to develop blockchain infrastructure for tokenized shares.
- NasdaqAmerican fully electronic stock exchange whose pilot proposal for tokenized assets received SEC approval.
- Securities and Exchange CommissionGovernment agency whose prior approval enabled the tokenized asset trading initiative.
- Intercontinental ExchangeFinancial company whose plans include a tokenized securities venue featuring 24/7 trading.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- NasdaqSpeculative
Nasdaq could integrate tokenized securities into its market offerings, potentially attracting new investment streams.
How it developed
Newest first. Tap a step to see who reported it.- Tech stocks are driving gains on both the NYSE and Nasdaq.Sub-event
- ICE and NYSE are partnering to offer tokenized U.S. stocks and ETFs, pending regulatory approval.Sub-event
- OKX and Intercontinental Exchange announced a joint venture for tokenized equities, following SEC approval.Sub-event
- Tokenized stock trading is gaining traction and advancing plans across major exchanges.Sub-event
Regulatory approval is enabling tokenized asset trading.1 source
Keep exploring
The entities involved
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New York Stock Exchange
American stock exchange
- Rogers Communications, a company based in Canada, has its shares publicly traded on the Toronto Stock Exchange (TSX) and also listed on the New York Stock Exchange (NYSE).
- Circle shares are traded on the NYSE, while Binance has taken a $100M stake in Circle and receives monthly incentives for USDC promotion.
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Nasdaq
American fully electronic stock exchange
Related events
- The SEC approved an exemption for tokenized NMS stocks, which trade on exchanges like Nasdaq in New York.
- Coinbase awaits clearer rules from the SEC as Chair Paul Atkins pushes innovation exemptions for tokenized assets, with Nasdaq building supporting platforms.
- NYSE and Nasdaq plan to expand trading hours and file updated rules with the SEC.
- Solana tokenized stock trading aligns with plans of both the New York Stock Exchange and Nasdaq.