BTC $78,233 +1.16% ETH $2,318 +1.72% BNB $700.23 +0.02% XRP $1.28 -0.06% SOL $92.94 -0.13% BTC $78,233 +1.16% ETH $2,318 +1.72% BNB $700.23 +0.02% XRP $1.28 -0.06% SOL $92.94 -0.13%
Regulation Via Cointelegraph.com News

SpaceX tokenized stock objection blocks OKXICE listing

SpaceX tokenized stock plans on OKXICE hit a regulatory roadblock after the aerospace company objected to listing blockchain-based shares for US investors, according to a Nov. 2 notice from the venue.

The objection places SpaceX alongside Tesla and Amazon among 56 companies opposing tokenized equity listings on OKXICE, a joint venture between OKX and Intercontinental Exchange. Under the SEC’s five-year Innovation Exemption, platforms may offer tokenized US stocks without registering as national securities exchanges, but issuers have 30 days to object and keep third-party tokens off the venue.

The move comes despite heavy offshore activity. Since SpaceX’s June public offering, tokenized versions of its shares have drawn large onchain trading volumes, including about $1.08 billion via Backpack Securities’ SPCX and $852 million through Kraken’s SPCXx. Those markets, however, were aimed outside the US, while OKXICE would have opened access to American investors.

How SpaceX’s objection affects tokenized stocks

OKXICE co-chair Andrew Cuomo said more companies may eventually participate as tokenization benefits become clearer. Nasdaq has warned issuers that tokenized trading could fragment liquidity and weaken long-term shareholder value. For now, the objection keeps SpaceX from becoming one of the first major names available to US investors through the new exemption.

Original reporting: Cointelegraph.com News