OKX and the parent company of the New York Stock Exchange have filed to launch a platform for trading tokenized shares of US-listed companies. The proposed venue would offer tokens tied to more than 60 US-listed stocks and would operate under a recently introduced innovation exemption from the Securities and Exchange Commission.
What the filing proposes
The platform would let users buy and sell tokens that represent shares in more than 60 US-listed companies. The tokens are designed to track the price of the underlying stocks. The filing does not name the specific companies whose shares would be tokenized, nor does it set a launch date.
If approved, the platform would be one of the first to use the SEC's innovation exemption, a framework the agency introduced to let certain crypto-related products test the waters under lighter regulatory requirements. The exemption is aimed at products that don't fit neatly into existing rules for securities trading.
Why the NYSE parent is involved
The involvement of the NYSE's parent company signals that major exchange operators are looking at blockchain-based trading as a way to reach crypto-native investors and extend trading hours. It's a notable shift for an institution whose core business is running traditional stock exchanges.
For OKX, the move expands its push into US markets beyond crypto spot and derivatives trading. The company has been building out its US presence and sees tokenized equities as a bridge between traditional finance and digital assets.
The SEC exemption at the center
The SEC's innovation exemption is the legal hook for the proposal. It allows firms to offer novel products without going through the full registration process for a national securities exchange, provided they meet certain conditions and provide disclosures to investors. The exemption is still new, and how the SEC applies it to tokenized equities will set a precedent for other firms considering similar products.
Tokenized stocks are not a new idea, but they've struggled to gain traction in the US because of regulatory uncertainty. Previous efforts have been shut down or limited to offshore markets. The SEC's exemption could change that by giving issuers a clearer path to compliance.
What happens next
The SEC will review the filing and decide whether to allow the platform to operate under the exemption. There's no deadline for the agency's decision, and it could request more information from the applicants. If the SEC signs off, the platform would still need to build out the infrastructure to support trading, custody, and settlement of tokenized shares.
For now, the filing is just a first step. The companies haven't said when they expect a decision or when trading might begin. The SEC's response will be closely watched by other exchanges and crypto firms weighing similar moves.
