Nine Companies, Including Broadcom and Verizon, Object to Their Shares Being Tokenized. Can They Stop It?

Nine companies, including tech giant Broadcom (NASDAQ:AVGO | AVGO Price Prediction) and telecommunications leader Verizon (NYSE:VZ), have objected to OKX-ICE listing tokenized stocks of their shares, and the objections became public on October 16, 2026. This joint venture between cryptocurrency exchange OKX and Intercontinental Exchange (NYSE:ICE) has sparked a debate in the financial community.

That day, the affected stocks generally followed market trends. Broadcom’s shares dropped 4.5% to $329, while CoreWeave (NASDAQ:CRWV) fell 11.9% to $61 amid an AI stock sell-off that gave the Nasdaq its worst week since June. In contrast, Verizon shares rose 0.9%, while UnitedHealth Group (NYSE:UNH) fell 1.3%. This raises the question: can these companies prevent their stocks from being traded on a blockchain?

OKX-ICE Seeks to List 63 Tokenized Stocks, and Nine Companies Object

On October 4, OKX-ICE applied to list 63 stocks for trading on OKX’s X Layer blockchain. A tokenized stock is essentially a digital representation of a share that tracks the underlying company’s performance. However, the exchange has not yet launched, and no date has been announced.

OKX-ICE revealed the identities of the companies objecting to the listing in a notice on October 15. In addition to Broadcom and Verizon, the objecting companies include CoreWeave, UnitedHealth, Applied Optoelectronics, Cerebras, AppLovin, Applied Digital and Rocket Lab. Interestingly, eight of these nine companies were part of the initial list. Nasdaq, which competes with ICE’s NYSE, has also decided not to tokenize its own shares, adding complexity to the situation.

So far, Broadcom, Verizon, UnitedHealth and CoreWeave have not released official statements explaining their reasons for objecting.

Each Company Has Its Own Reason to Object

Broadcom has a market cap of $1.57 trillion and a notable 221% increase in revenue from AI chips. For a company of this size, a tokenized stock representing a fraction of its shares is unlikely to impact trading much; therefore, Broadcom’s objection seems to stem from a desire to maintain control over how its stock is represented.

Verizon is a popular income stock, regularly paying a quarterly dividend of around $0.71. A tokenized version without dividends or voting rights could mislead investors who rely on the stock primarily for income.

UnitedHealth recently updated its 2026 earnings outlook, projecting adjusted earnings of at least $20.50 per share. Its objection does not change this guidance. CoreWeave, the smallest of the four with a market cap of $28.17 billion, has faced significant pressure, including a falling stock price amid AI market uncertainty and reports of heavy stock sales by its CEO.

Can Companies Prevent Tokenized Stocks Linked to Their Shares?

Yes, they can, under the SEC exemption rule established on September 17. This rule requires exchanges to notify companies in writing before listing a tokenized share of their stock. The company then has 30 days to object, which would stop the token from being listed. However, synthetic products that provide only price exposure, without granting shareholder rights, can still trade without the company’s approval, so cheaper alternatives remain available elsewhere.

In this instance, the objecting companies may succeed. If early objections become standard practice, it could pave the way for requiring company consent before trading begins. Regardless of the outcome, existing shareholders retain their stocks and rights. OKX-ICE will face its next challenge when it announces further objection notices and sets a launch date. If additional companies join the initial nine, the exchange may have to begin trading with a reduced list from the original 63.

Contact [email protected] for any questions or corrections.