Formation notifies SEC of early 2027 Solana tokenized stock venue

By Nathan Brooks

Formation Securities notified the U.S. Securities and Exchange Commission that it targets an early 2027 launch for a Solana-based tokenized securities venue.

The proposal would use conditional secondary trading of eligible tokenized stocks through permissioned automated market maker liquidity pools on qualified venues under the SEC’s innovation exemption. Formation described the plan as the first tokenized securities venue on Solana.

Regulatory structure and opening slate

Formation said the SEC notification covers the venue’s intended operating framework; the venue remains a future project, with trading targeted for early 2027. The company named three tokenized-share offerings for the initial rollout.

• Exodus Movement, Inc. (EXOD)
• Forward Industries, Inc. (FWDI)
• Galaxy Digital Holdings (GLXY)

Formation expects all three tokenized-share offerings to roll out at launch.

Issuer resistance frames the market

The announcement followed a move by OKXICE, the joint venture between crypto exchange OKX and NYSE parent Intercontinental Exchange, to list and trade tokenized shares under the SEC innovation exemption. OKXICE’s venue is not live, and a total of 67 firms have objected to the tokenization of their shares for trading on that platform.

The objections concern OKXICE’s proposal, not Formation’s planned venue, but they show that issuer participation remains contested. Formation said it intends to work with issuers on the tokenized shares.

Christopher Montagano, president of Formation Securities, said: “Tokenized stocks will succeed only if public companies see the value in them, and we intend to build this market together with issuers.”

He added: “Formation Securities is designed to give issuers and investors a new, transparent market, with trading beyond traditional market hours and faster onchain settlement, while preserving the key rights shareholders enjoy in the traditional financial space.”

Distribution, rights and settlement

The planned offering would reach verified investors through Superstate Securities, Formation Securities’ own platform, other distribution channels such as Alpaca, and custodians including Anchorage and BitGo Bank.

Formation chose Solana for what it described as reliability, speed and low cost, citing more than $5 billion in tokenized real-world assets supported by the network.

The tokenized shares would carry the same voting and dividend rights as other shareholders. Investors would be able to trade them around the clock against stablecoins and other eligible assets, with transactions settling atomically onchain.

Formation’s issuer strategy

Orca and Loopscale merged to establish Formation last month, with the new company focused on tokenization and onchain finance.

It said it already works with Figure, Shinhan Asset Management, Superstate, R3 and Securitize.

What does this change for issuers and investors?

For issuers, the proposal offers tokenized shares with the same voting and dividend rights as other shareholders, plus trading beyond traditional hours. Formation’s own strategy depends on public companies recognizing value in the format; its three-company launch slate defines the immediate focus.

For investors, the proposal would move trading beyond traditional market hours and settle transactions atomically against stablecoins and other eligible assets. Planned access runs through verified investors and named distribution or custody partners rather than unrestricted public participation.

What changes is the operating window and settlement method, not the stated shareholder rights. For issuers, the test is whether participation expands beyond the opening slate; for investors, it is whether the qualified venue can deliver the promised availability and atomic settlement.

The next hard checkpoint is early 2027, when Formation targets launch; issuer participation and movement from SEC notification to operation remain the principal dependencies.