Costco joined 66 other issuers in objecting to a third‑party tokenized version of its shares on OKXICE, as CFTC‑regulated perpetual contracts referencing the stock begin trading on Kalshi.
Costco Corp. is among 67 issuers that filed objections to a third‑party tokenized version of its common stock on the OKXICE platform, a venue seeking to operate under a temporary SEC exemption for blockchain‑based securities. At the same time, derivatives exchange Kalshi launched a perpetual contract tied to Costco’s share price, offering traders leveraged exposure without delivering actual shares.
The SEC’s September 2026 order creates a conditional pathway for eligible venues to list tokenized U.S. equities, provided they notify the issuer and allow a 30‑calendar‑day objection window. If an issuer objects, the venue must remove the token from its offering and amend its public notice within five business days, according to CryptoSlate. Costco’s objection, filed on Nov. 5, applies specifically to OKXICE’s model, which would have used a broker‑dealer‑registered tokenisation provider to hold one underlying share for each token.
A token that represents an actual share must preserve shareholder rights—including voting, dividends and a claim on residual assets—per SEC guidance. By contrast, Kalshi’s perpetual contract is a synthetic derivative that mirrors Costco’s price movements but grants no ownership, voting, or dividend rights. The contract is continuously funded, with long positions paying shorts when the contract price exceeds the reference price and vice‑versa, and it offers up to 4.9× leverage, as noted by CryptoSlate.
CFTC Chair Michael Selig recently affirmed that equity perpetuals could trade on registered exchanges under Regulation 40.3, treating them as security futures. However, the Capital Markets Alliance Association, backed by Cboe and Citadel, has sued, arguing that a contract without a delivery obligation cannot be classified as a security future. Judge Valerie Caproni’s Nov. 3 order indicated the challengers are likely to succeed in limiting CFTC authority, though she denied an emergency restraining order.
Future developments will hinge on the court’s final ruling on the CFTC’s jurisdiction over stock perpetuals, as well as any SEC clarification on the scope of issuer objections for tokenized securities. Investors should monitor whether additional issuers follow Costco’s lead, how Kalshi and similar platforms adjust contract terms in response to regulatory outcomes, and whether OKXICE revises its token‑listing strategy.
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