TSV, an equity trading platform on Canton Network, could get ahead of the OKX-ICE partnership by tokenizing shares of Nasdaq company Canton Strategic Holdings and launching the first trades under the SEC’s new framework.
According to CoinDesk, Canton Strategic Holdings (CNTN) has reached an agreement to offer its common shares through TSV. The company expects trading to begin as early as Monday. The goal is for the shares to be bought and sold as digital tokens on a blockchain.
A key difference with the initiative is that the company whose shares are being tokenized is involved from the outset. In the joint venture between OKX and Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange, listings planned by third parties had faced objections from companies.
Company approval changes the 30-day objection process
CNTN is working with Fairmint, an SEC-registered transfer agent, to issue tokenized shares and maintain official ownership records. Because the company itself supports the tokenization, this listing will not be subject to the 30-day notice and objection process that independent third parties must follow when tokenizing a company’s shares.
The waiting period for the platform’s own notice is a separate step. TSV published its initial platform notice on September 23, and the required period has since elapsed. OKX-ICE published its notice on October 4. This timing, along with the issuer’s direct involvement, could allow TSV to launch the first trades sooner.
24/7 trading and the same shareholder rights are the goal
Both platforms aim to operate under the SEC’s five-year “Innovation Exemption” framework. According to the report, the framework allows platforms that meet its requirements to trade tokenized U.S. stocks in automated market-maker pools accessible only to authorized participants.
TSV plans to offer 24/7 trading to approved institutional and individual participants using the Tradecraft protocol on Canton. Shares and payment will change hands simultaneously in each transaction, while Fairmint will oversee compliance of the transfers with applicable rules.
According to CNTN’s statement, token holders will have the same rights and privileges as investors who hold their shares through Nasdaq. The new model thus puts company approval and official ownership records at the center of the tokenization process.
Not investment advice.