ICE, OKX and Securitize warn synthetic stock tokens mislead retail — and NYSE is building the regulated alternative.

Executives from Intercontinental Exchange, OKX and Securitize used a Consensus Miami panel to draw a sharp line between regulated tokenized equities and the offshore synthetic wrappers proliferating in permissive jurisdictions. Securitize CEO Carlos Domingo pointed out that for some stocks there are five competing tokenized versions — none of which actually represent equity in the underlying company. He cited a stock split that caused one synthetic wrapper to trade at prices five times apart across markets as evidence of the structural risk.

The regulatory arbitrage concern is specific: offshore issuers create wrappers in lenient jurisdictions while claiming they do not target U.S. or European users, yet permissionless tokens flow back into those markets regardless. The SEC has sharpened its position, stating that issuer approval is required for a token to constitute true…