The NYSE, After Tattle-Taling, Wants to Be the Next Hyperliquid

Two weeks ago, ICE, the parent company of the New York Stock Exchange, along with the CME, filed a "report" with the CFTC and the U.S. Congress. They warned that a platform registered in Singapore, where traders remain completely anonymous, Hyperliquid, is posing a risk of global oil prices being manipulated, potentially by insiders or even sanctioned state actors. As reported by Bloomberg, these two oldest exchanges hope regulators will tighten restrictions on it.

Two weeks later, at a Bernstein investor conference, ICE Founder, Chairman, and CEO Jeffrey Sprecher had a completely different demeanor when discussing Hyperliquid. He described the platform as "bigger than Nasdaq," staffed by only 11 people, a sight that he found impressive. Sprecher mentioned meeting the Hyperliquid team several times, noting that both sides are learning from each other, and added: "Hats off to these guys. I really wish I were young enough to go do it myself."

ICE's internal conflict is not about indecisiveness. It has long recognized that tokenization will prevail; it simply hasn't yet earned the right to compete on the same playing field as the winners.

The Tokenization Track

In Sprecher's view, value will eventually be tokenized via the internet, enabling 24/7, uninterrupted liquidity. The logic is simple: banks have operating hours, but global supply chains and energy markets operate around the clock. ICE runs 13 exchanges and 6 clearinghouses worldwide. When banks in a certain time zone close, capital in that region effectively freezes. As the world moves towards 24/7 operations, capital will inevitably flow to channels that never close.

Tokenization also offers a profit advantage. Currently, ICE must maintain surplus collateral at each of its 6 partner clearinghouses to prepare for potential local liquidation requirements. Imagine a multinational corporation with an account in six different countries, each holding a reserve that cannot be touched. Tokenization could consolidate these six pools into one, allowing funds to be transferred almost instantly to wherever trading or margin is needed. For a company with a global network of clearinghouses, this represents a tangible leap in capital efficiency.

With the conviction set, action followed. ICE initially attempted to directly tokenize NYSE-listed stocks, but investors were not receptive. So, it took a detour, establishing a subsidiary called Blue Ocean and filing with the SEC for permission to trade stocks 24 hours a day, 7 days a week. Sprecher emphasized that the approval of this application is independent of whether the Clarity Act passes, and he is currently quite optimistic about obtaining approval.

Betting on Vertical Integration

With approval in hand, where will the incremental growth come from?

ICE anticipates that when 24/7 tokenized US stocks first launch, most domestic US institutions will likely be hesitant. Weekend and late-night trading doesn't align with their current habits and may face regulatory hurdles.

The real incremental demand lies in Asia.

OKX, the world's second-largest crypto exchange after Binance, boasts 120 million users and has a geographic and customer base that perfectly complements ICE's shortcomings. Having faced setbacks under the Biden administration, paying hefty fines, accepting on-site regulators, and committing to rigorous KYC and AML procedures, OKX has demonstrated to ICE its determination to operate legally within the United States.

This led to a reciprocal exchange between the two. ICE helped OKX secure broker-dealer licenses, bringing it under FINRA and SEC oversight and opening the door to the U.S. market. In return, OKX leverages its Asian network and hundreds of millions of users to distribute ICE's products. In March 2026, ICE invested approximately $200 million in OKX, at a $25 billion valuation, securing a seat on the board.

Two weeks ago, the first product born from their partnership was launched: OKX introduced crude oil perpetual contracts based on the Brent and WTI benchmarks.

Securing the Settlement Layer

They have distribution and data, but they lack a chain capable of powering it all.

However, Sprecher is acutely aware that the current L1 and L2 solutions on the market cannot yet meet ICE's performance requirements. According to him, the daily trading volume on the NYSE exceeds the number of daily Google searches. A more significant problem is latency. Decentralization requires a consensus among validators to confirm ownership transfers, which takes time. ICE's platform handles algorithmic trades measured in microseconds, and no one is willing to sacrifice a decade of speed just to put trades on a blockchain.

ICE's solution is to split the workflow in two. Matching remains off-chain, while the transfer of collateral moves on-chain.

ICE has already taken action on both fronts.

Internally, it has connected the NYSE to a blockchain for settlement, which operates within its own data centers and is not open to the public.

Externally, in February 2026, ICE invested in the upcoming Zero public chain by cross-chain protocol LayerZero. Zero's investor lineup reads like a who's-who of the traditional financial infrastructure, including the DTCC (responsible for US securities settlement), market-making giant Citadel, Google Cloud, ARK, and Tether.

Regulatory "Double Standard"

Regarding the "challenger" Hyperliquid, Sprecher has been closely monitoring two key things they can do that ICE currently cannot.

With ongoing conflicts in the Middle East, major news often breaks on weekends when traditional oil markets are closed. Hyperliquid fills this void, leading price discovery for crude oil over the weekends.

The other is the SpaceX pre-market contract launched on Hyperliquid. Sprecher is curious whether a price "discovered" in an on-chain private market will ultimately reflect the actual price when the market opens. He stated he is willing to wait a few more weeks before making a judgment.

When the moderator brought up the "FUD" ICE spread about Hyperliquid two weeks prior, Sprecher clarified: "Actually, we weren't panicking. On the contrary, we are communicating with these people to understand their thinking. They are learning about what we do. We are helping them understand our world, and they are helping us understand theirs. So in a sense, it's a mutually appreciative relationship."

The subtext of this statement is what ICE truly wants to convey to regulators.

"Hyperliquid does all these things and faces no penalty. How is it fair that we are restrained? ICE needs a level playing field. If regulators believe what Hyperliquid is doing is legal, then we want to do even more. If you think it's illegal, then why hasn't Hyperliquid received the kind of warning letters you often send us?"