Walmart, Microsoft and JPMorgan block NYSE-backed venture from tokenizing their shares

Walmart and 37 other companies have objected to third-party tokenized versions of their shares trading on OKXICE, the proposed round-the-clock stock tokens venue backed by the owner of the New York Stock Exchange.The objections show that a venue can earn trading fees while issuers weigh pricing risks and a limited window to object.The venue's Oct. 28 notice lists Walmart alongside Microsoft, Alphabet and JPMorgan among 38 objectors.OKXICE is owned equally by an Intercontinental Exchange subsidiary and OKC USA. ICE operates the NYSE, but OKXICE is a separate venue proposing secondary trading through automated liquidity pools on the XLayer blockchain.Under the SEC framework, the tokens must carry shareholder rights equivalent to conventional shares.Oct. 24 reports listed 16 objectors, and the larger roster now sharpens the issuer-participation problem.The fees go to the trading businessOKXICE's service fee goes to the venue, while separate pool fees accrue to the investors who supply assets for trading, while network fees go to the blockchain.The SEC's Sept. 17 exemption prohibits primary issuance and initial offerings on covered tokenized securities venues.An issuer could still valu...