Perpetuals.com, which is listed on NASDAQ, is the second company to seek to establish a tokenized stock market under the new framework of the U.S. Securities and Exchange Commission (SEC) following the joint venture between OKX and Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange.
Perpetuals.com plans to launch tokenized US stock trading based on the new innovation exemptions of SEC. Previously, the joint venture project between OKX and ICE had proposed a similar scheme.
The company's CEO, Patrick Gruhn, co-founded Digital Assets AG. Previously, this company developed tokens linked to stocks for cryptocurrency exchanges including Binance and FTX, before being acquired by FTX Group.
The company stated that transactions could potentially begin in mid-November, but technical and compliance preparations are still required before the launch.
This financial technology company listed on NASDAQ, led by a former executive from FTX Europe, plans to introduce tokenized trading of U.S. stocks onto the blockchain under the new regulatory framework of SEC.
Led by CEO Patrick Gruhn, Perpetuals.com ( PDC ) submitted a notice on Wednesday stating that the company plans to operate a tokenized securities trading venue under a five-year “innovation exemption” in SEC. This exemption allows certain markets to trade U.S. stocks on public blockchains without the need to register as traditional stock exchanges.
This move makes Perpetuals.com the second company to seek to operate in the market under this exemption. Previously, OKX and OKXICE, a joint venture formed with Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange, submitted a plan last week to enable 24/7 trading for more than 60 tokenized U.S. stocks.
The exemption rule introduced in September allows certain markets to trade U.S. stocks on public blockchains without the need to register as traditional stock exchanges. It requires that tokens must have the same shareholder rights as ordinary shares, including the right to dividends and voting rights, and also gives companies 30 days to object to the trading of their stocks on tokenized securities exchanges.
Return to Tokenized Stocks
For Gruhn and its team, this move signifies a return to the field of tokenized stocks. In 2021, they helped develop some of the earliest stock-linked tokens provided by crypto exchanges such as Binance and FTX.
Gruhn co-founded the tokenization company Digital Assets AG, which is headquartered in Switzerland. The company once collaborated with the German investment firm CM-Equity to provide crypto traders with digital tokens linked to stocks such as Tesla and Coinbase. Digital Assets AG was later acquired by FTX Group and became part of FTX Europe; before the collapse of the crypto exchange group in November 2022, Gruhn led FTX Europe.
In a statement, Gruhn stated: "The Perpetuals team has long been a pioneer in the tokenization field, and entering the US market this time will enable us to further leverage our platform and extensive professional experience."
The company currently provides trading technology for Perpetual Markets MTF located in Cyprus. This market has obtained a license based on the European MiFID II framework and was authorized under the EU's Crypto Assets Markets Regulation (MiCA) in August.
The company disclosed that as of the end of April, its total assets amounted to $65.2 million, while its net loss for the fiscal year was $17.6 million.
Earlier this year, the company also announced an agreement with Datavault AI to provide transaction infrastructure support for the planned issuance of tokenized products, which involve copper, gold, and other physical assets, with a target issuance scale of over $300 million.
How will the new trading venues operate?
AMM facilitates transactions between buyers and sellers through smart contracts and liquidity pools, rather than relying on the order books of traditional exchanges. Each liquidity pool will pair a tokenized U.S. stock with a digital asset, initially expected to be in the form of USDC, allowing eligible investors to trade stocks using Circle, a dollar-pegged stablecoin.
Perpetuals The official launch date has not yet been determined. A company spokesperson told CoinDesk that, after the 30-day period following the public announcement, trading could begin as early as mid-November, depending on market data and compliance arrangements, smart contract security reviews, and the completion of other preparatory work.
The spokesperson added that the company also plans to release updated disclosure information before the transaction begins, including real-time smart contract addresses.
