Why Dozens of Companies Are Saying No to Tokenized Stocks

Matt Hougan argues that a few dozen public companies are declining tokenized stock trading mostly because committees are designed to avoid downside and can opt out at no cost, while the pioneering firms take the early reputational and legal risk. He says the real adoption path is not replacing Schwab accounts right away, but serving the people who are badly served now: international investors, offshore traders, and hedge funds that need 24/7 access, including Saturdays.

On NYSE’s choice of Avalanche for a future 24/7 tokenized stock venue, Hougan says the move is a strong proof point for AVAX and for tokenization generally, though the key drivers are regulatory clarity and time. He thinks the SEC has already given enough direction on equal rights and dividends in simple vehicles, and that the market mainly needs pioneers to show benefits before others follow.

Hougan also sees ICE’s multiple onchain bets as smart corporate strategy, not indecision. He compares Hyperliquid to Amazon because it is building a fast, expanding platform that starts with crypto perps and moves into real-world assets, prediction markets, and open-source development. More broadly, he expects finance to become more global and automated, with permissioned pools, identity, and compliance tools eventually pulling the two sides of the market back together.