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TSV LLC, OKXICE TSV and Kephas Corporation have told the US Securities and Exchange Commission (SEC) they intend to operate onchain markets for tokenised US stocks. The SEC published their notices on Tuesday, but none of the proposed venues is trading yet.
The exemption defines venue limits
TSV LLC, based in Puerto Rico, notified the SEC on 23 September. OKXICE TSV, the Intercontinental Exchange and OKX joint venture formed in June, filed on 4 October; Kephas Corporation, which operates as Perpetuals.com, submitted its notice on 14 October. Their plans rely on temporary relief issued by the SEC on 17 September, which permits approved participants to trade tokens carrying the rights of listed shares without following the rules that apply to exchanges.
That relief limits activity in the most liquid shares to 0.25% of average daily volume and allows no more than 75 symbols on a venue. The SEC's Division of Trading and Markets issued four responses on how the exemption works. Staff said a notice should be filed once the venue's operations and access requirements are ready for production.
A venue can identify third-party tokens while an issuer's 30-day objection period remains open, but trading must wait until that period ends without an objection. If an issuer objects, the notice must disclose it and the venue cannot list the stock. The staff answers carry no legal force and do not speak for the Commission, chaired by Paul Atkins. Staff had outlined the issuer-sponsored and third-party distinction in January.
Filings describe different market designs
TSV LLC, owned equally by Ali Abrar and Ryan Trinkle, plans to use Canton Network and pair tokenised shares with Circle's USDC and Brale's SBC. Its notice sets a 0.30% baseline swap charge, with 0.20% going to liquidity providers. TSV said authorised issuers' transfer agents handle share tokenisation, so it has not sent issuer notices. A Monday revision added information on liquidity and the assets to be paired at launch. Trading cannot start before the 31st calendar day after publication; using the first notice, that date is 24 October.
OKXICE named 63 stocks, among them Nvidia, Tesla and Apple, for Uniswap v4 pools on XLayer. Perpetuals.com intends to create USDC-linked pools for individual stocks on Kronos X Public, an Ethereum-compatible layer-2 network, though its summary page has not yet listed the stocks. Finance Magnates reported the OKXICE listing when its notice appeared.
The SEC has also approved a Nasdaq pilot on Nasdaq's own market. Coinbase has applied to launch tokenised stock trading, while Kraken sought clearance for a platform operating around the clock.
Other routes raise rights questions
In Europe, ESMA cautioned that tokens without shareholder rights could give investors a misleading impression. Contracts for difference sold by retail brokers also provide exposure to US shares without shareholder rights. FM Intelligence's Ask FMIQ identifies brokers with the strongest volume growth. The SEC exemption expires on 17 September 2031, and the regulator is accepting public comments under file number 4-927.
The integration question
Before treating any notice as a launch signal, teams should confirm the venue has established its operating and access standards. Which stocks are covered, and how will the venue enforce both the 75-symbol ceiling and each stock's 0.25% volume limit? The filings describe different networks and pool designs, so teams should also ask how liquidity provision and paired assets will be handled in their chosen model.
For third-party tokens, what process records the end of the issuer's 30-day objection period, captures any objection and prevents trading when one is made? Operators should also check which notice version sets the earliest possible start date: TSV LLC's revised filing followed its original notice, and the source material does not specify how that update affects the clock. None of the three venues has started trading.
Teams should also establish how they will verify that each token represents the share rights described in the exemption, and what evidence the venue provides when an issuer or its transfer agent changes the status of a stock. The filings do not set out those operational procedures, so they remain points to resolve before connecting to a venue.
