Formation Securities plans Solana tokenized-stock venue for 2027

Formation Securities notified the US Securities and Exchange Commission (SEC) on Monday that it plans to launch a 24/7 tokenized-stock trading venue on Solana in early 2027, according to the company. The new company licenses technology from decentralized exchange Orca, and its proposed market would operate under the SEC’s temporary Innovation Exemption, announced in September.

Which companies are expected at launch?

Tokenized shares of Galaxy Digital, Exodus Movement and Forward Industries are expected to be available at launch, Formation said. Superstate and Securitize are also expected to make tokenized shares available on the marketplace, according to the company. Formation intends to develop the venue in cooperation with public companies.

How would trading and settlement work?

The venue would use automated market maker (AMM) technology, allowing investors to hold securities in their own wallets and settle trades onchain against stablecoins and other eligible assets. Traditional transfer agents would continue maintaining official shareholder records, preserving companies’ direct relationships with shareholders.

How does the SEC exemption work?

The temporary Innovation Exemption allows verified investors to trade certain US-listed shares around the clock while retaining voting, dividend and other shareholder rights. It also gives issuers a defined objection window: venues must notify issuers in writing and wait at least 30 calendar days before trading shares tokenized by unaffiliated third parties.

How are issuers responding to third-party tokenization?

More than 50 companies had objected to having their shares tokenized on OKXICE as of early November. The proposed venue is backed by crypto exchange OKX and New York Stock Exchange parent Intercontinental Exchange. Formation’s approach is issuer-focused, with the company intending to develop the marketplace in cooperation with public companies.

Nasdaq warned in September that tokenized-stock trading could have unforeseen consequences for liquidity, price discovery and long-term shareholder value. In a related item cited by the source, Robinhood’s Tenev warned that US tokenization uncertainty deters “serious assets.” Both warnings came as debate intensified over how publicly traded shares should be brought onchain.

How large is Solana’s tokenized-stock market?

Solana was already among the largest blockchains for tokenized equities, with approximately $575 million in tokenized-stock value as of Monday, according to RWA.xyz. Ethereum held $747 million and BNB Chain held $1.7 billion on the same date, placing Solana third among the three chains cited.

What must happen before an early-2027 launch?

Formation’s timetable still runs through the SEC notification and issuer notices. The design does not displace transfer agents or their official shareholder records; it adds onchain settlement alongside existing corporate recordkeeping. The early-2027 target therefore remains dependent on issuer notification, the 30-calendar-day objection window and continued operation of the temporary SEC framework.