Former New York Governor Andrew Cuomo has become a proponent of tokenized stock exchanges, a new financial model that links digital tokens to traditional stocks, allowing for 24/7 global trading. This venture, however, has encountered significant pushback from numerous established companies that do not want their shares traded in this crypto-based format.
Cuomo is the co-chairman of OKXICE, a joint venture between the China-based crypto exchange OKX and Intercontinental Exchange, which owns the New York Stock Exchange. The tokenized share model aims to create a future of finance where investors can trade around the clock.
Despite the potential benefits touted by proponents, including Cuomo's assertion that it could bring billions into the American economy, several companies have voiced their objections. Cerebras Systems, AppLovin, Applied Digital, Rocket Lab, CoreWeave, Verizon, Applied Optoelectronics, Broadcom, and UnitedHealth have all recently stated their opposition to being included on the OKXICE platform.
Tokenized stock exchanges operate without direct permission to link to traditional stocks; instead, affected companies are given a 30-day window to opt out. Critics argue that this model allows companies to skirt regulations and raises concerns about pricing disparities between exchanges, potentially impacting the efficiency of price discovery and widening investor spreads.
Concerns also persist regarding regulatory oversight. It remains unclear whether tokenized exchanges will face the same scrutiny as traditional exchanges concerning insider trading and market manipulation. OKXICE has stated it relies on internal surveillance, third-party services, and user identity verification, anti-money laundering, and sanctions checks.
This opposition highlights the early challenges OKXICE may face in achieving widespread adoption. In September, the Securities and Exchange Commission began to expedite the trading of tokenized shares in the U.S., with OKXICE being one of the first to file with regulators for a 24/7 tokenized stock trading platform.
Proponents, such as Barry Plunkett, CEO of Cosmos Labs, argue that tokenization streamlines post-trade operations by embedding them into the transaction itself, using the blockchain as a shared record to move assets and money rapidly. However, financial experts like Ken Mahoney, CEO of Mahoney Asset Management, caution that 24/7 trading does not necessarily equate to a more efficient market and that tokenized stocks could be perceived as holding additional risks, especially given existing market volatility.
Cuomo, who previously served as governor from 2007 to 2021, began working as a paid advisor for OKX in 2023. He has publicly stated his belief that tokenized exchanges represent the future of finance, envisioning a platform that integrates stock trading, payments, and AI-driven financial consultations within five years.
OKX itself has a history with U.S. regulators. In 2025, the company pleaded guilty to violating anti-money laundering laws and agreed to pay over half a billion dollars in penalties following an FBI investigation.
Despite the current objections, OKXICE's proposal lists over 60 companies whose shares could potentially be tokenized, including major tech firms like Nvidia, Tesla, Apple, Microsoft, and financial platforms such as Coinbase and Robinhood.