ICE and OKX Plan 24/7 Tokenized Stock Trading with Uniswap
Intercontinental Exchange (ICE), the owner of the New York Stock Exchange (NYSE), and crypto exchange OKX are joining forces to create a 24/7 market for tokenized US stocks. On October 4, their joint venture, OKXICE, notified the Securities and Exchange Commission (SEC) of plans to launch a Tokenized Securities Venue under the regulator's Innovation Exemption. The platform will initially support 63 securities, including major companies like Nvidia, Tesla, Apple, and Microsoft, as well as financial firms like JPMorgan and Goldman Sachs.
The proposed platform aims to offer continuous trading of tokenized stocks, even when traditional markets are closed. Instead of relying on NYSE or Nasdaq prices, the tokenized stocks will be priced using Uniswap v4 liquidity pools on OKX's X Layer blockchain. This approach allows for repricing during nights and weekends, potentially providing a reference for price movements when regular exchanges reopen.
OKXICE co-chair and former New York Gov. Andrew Cuomo described the filing as a 'landmark step toward a truly global, 24/7 Wall Street.' OKX founder Star Xu emphasized the market-structure experiment's significance, stating, 'Wall Street is moving onchain.' However, the SEC has set limits on the number of securities and trading volume under its temporary exemption to observe the impact of continuous onchain trading on pricing and liquidity.
The platform will use stablecoins like USDC, USDT, and USDG for transactions, with investors holding assets in self-custodial wallets. The SEC has capped the number of securities and trading volume, requiring venues to halt trading in a tokenized stock for three months if thresholds are breached. The exemption runs through September 17, 2031, with the earliest possible launch in early November.