Tokenized stocks must carry the same shareholder rights, OKX US CEO says

OKX US chief executive Roshan Robert told crypto.news that tokenized versions of National Market System (NMS) stocks must grant holders the same ownership, voting and economic rights as investors in the underlying traditional shares.

SEC exemption framework

The Securities and Exchange Commission (SEC) issued a five‑year trading exemption on September 17, allowing qualifying venues to trade tokenized U.S. listed stocks using permissioned automated market makers and liquidity pools. The exemption runs until September 17, 2031 unless the SEC amends it.

Rights parity requirement

Under the order, each tokenized stock must provide the rights and privileges of the equivalent class of conventional stock, including dividend entitlement, voting rights, and a claim on assets in liquidation. Tokens that only track price through synthetic exposure do not qualify.

Issuer objection process

If a third‑party tokenizes a company’s share, the venue must give the issuer written notice and wait at least 30 calendar days. An objection within that window bars the token from trading under the exemption.

Operational challenges

Robert highlighted additional concerns for scaling tokenized stock markets, such as preventing front‑running, ensuring fair access, maintaining reliable market data, and providing records for surveillance. Automated market makers set token prices from liquidity‑pool assets, which may conflict with Regulation NMS rules that prohibit trades at prices inferior to protected quotes on traditional exchanges.

The SEC noted a risk that token prices could diverge from underlying share prices, especially during trading‑hour gaps when primary markets are closed.

Future outlook

The five‑year exemption is intended as a live‑testing environment. Data on investor behavior, liquidity development, and price alignment will inform the SEC’s assessment of whether regulatory adjustments are needed and whether any part of the exemption should become permanent.