TSV Completes Tokenized U.S. Share Trades as 67 Issuers Object

Marcus Bennett

Sixty-seven companies have objected to OKXICE’s proposal to trade tokenized U.S. shares, according to an OKXICE notice. TSV LLC has completed a separate set of issuer-backed trades in tokenized shares. The dispute puts issuer consent at the center of early trading under the SEC’s conditional framework.

Issuer-backed trades moved first

TSV’s first trades involved Canton Strategic Holdings (CNTN) shares on the Canton Network. Canton Strategic Holdings backed the tokenization of its shares. Fairmint, an SEC-registered transfer agent, recorded the shares in token form and maintained the ownership record.

Existing shareholder Five North sold the shares to DRW Cumberland. Flowdesk supplied liquidity through a permissioned pool on Tradecraft. That transaction chain connects the issuer, the registered transfer agent and the liquidity provider. It gives TSV’s completed trades a different foundation from a third-party tokenization structure.

OKXICE is a joint venture of OKX and Intercontinental Exchange. It has proposed trading tokenized shares through permissioned liquidity pools. Its plan relies on a party unaffiliated with the issuer tokenizing the shares. Unlike TSV’s completed trades, that structure does not begin with issuer backing. For OKXICE, each proposed tokenized stock must clear the issuer notice-and-objection process before trading.

The objections expanded

The objections rose from 22 in an earlier OKXICE notice. Of the 62 companies originally included in the proposal, 56 objected. Eleven companies outside that group also objected, bringing the total to 67.

Six original participants did not object:

• Strategy
• Robinhood
• Coinbase
• Circle
• Securitize
• BitGo

The objectors include all seven companies commonly grouped as the Magnificent Seven, along with:

• Walmart
• JPMorgan
• Coca-Cola
• Eli Lilly
• Boeing
• McDonald’s

Applied Optoelectronics raised concern that investors might mistake a tokenized offering it had not sponsored for one it had authorized. JPMorgan expressed support for tokenization but opted out of OKXICE’s proposal for now. The expansion shows how broad the opposition became after the earlier notice. It also shows that support for tokenization does not always extend to a specific trading structure.

What does this change for tokenized U.S. shares?

Under the SEC’s conditional relief for tokenized U.S. stock trading, an issuer has 30 calendar days after receiving notice of third-party tokenization to object. A timely objection prevents the venue that sent the notice from trading that tokenized stock. It does not bar trading on other venues.

Those limits make the objections specific to OKXICE’s plan. TSV’s completed trades show a separate route built around issuer backing and a transfer agent’s ownership record. The difference determines which shares each venue can bring to market under the SEC’s framework.

For issuers, the practical change is narrower than a market ban. A timely objection blocks the notifying venue, not the tokenized shares across all trading venues. For market participants, the relevant question is which venue can list a stock after the 30-day objection period. If no issuer objects after receiving notice, the notifying venue may trade the tokenized stock. The contrast defines market access in operational terms: issuer backing supports TSV’s completed route, while a timely objection can stop OKXICE from trading the affected stock.

Nasdaq sets a 2027 target

Nasdaq is pursuing another model. Eligible tokenized securities would trade alongside traditional shares. The Depository Trust Company would handle settlement after execution. Nasdaq expects its framework to launch in the second quarter of 2027.

That design would differ from TSV’s Canton Network activity, where Fairmint recorded the tokenized shares and maintained the ownership record, and from OKXICE’s permissioned-pool model. Until then, the SEC’s 30-calendar-day window remains the operative deadline for each new third-party tokenization notice. Nasdaq’s expected second-quarter 2027 launch provides the next defined market-structure change.