New Texas Stock Exchange: Support from BlackRock and Citadel Securities
Date: 2024-06-05 Author: Oliver Abernathy Categories: IN WORLD
The US is planning to launch a new national stock exchange, the Texas Stock Exchange (TXSE), backed by financial giants BlackRock and Citadel Securities. This project has attracted attention and significant investment, and its implementation could significantly change the financial landscape of the United States.
Attracting investments and plans for the future
According to information from Bloomberg, TXSE has already raised $120 million in investment for the launch. These funds will be used to build infrastructure and file registration documents with the US Securities and Exchange Commission (SEC). It is expected that the first transactions on the new exchange will begin in 2025, and the first listing of companies will take place in 2026.
Goals and Benefits of TXSE
TXSE CEO James Lee noted that one of the main goals of the new exchange is to reduce the cost for companies to comply with the requirements of major exchanges such as the NYSE and NASDAQ. An official statement on the TXSE website states that the exchange will be completely electronic and will be headquartered in Dallas, Texas. This should help create more jobs in the region, as well as attract major players such as Goldman Sachs Group Inc and Charles Schwab Corp.
Features and objectives of the exchange
The Texas Stock Exchange is committed to providing U.S. and global companies with access to U.S. equity capital markets. It will provide a platform for trading and listing of public companies, as well as a growing number of exchange-traded products. An important aspect is that TXSE will focus on creating an efficient and modern electronic platform that will simplify access to the capital markets and reduce transaction costs for market participants.
At the time of writing, BlackRock representatives did not comment on their participation in the project. However, Citadel Securities confirmed the financing to TXSE. The move is part of both companies' broader strategy to diversify their investments and expand their exposure to financial markets.
Historical context and previous investments
BlackRock previously invested heavily in its own spot Bitcoin ETF, purchasing 100,000 shares of the iShares Bitcoin Trust (IBIT) through its BlackRock Strategic Income Opportunities Portfolio Institutional Shares (BSIIX) and BlackRock Strategic Global Bond Fund (MAWIX). The company also filed an amended application for a spot Ethereum ETF on Form S-1.
The launch of a new stock exchange in Texas, with the backing of major financial players such as BlackRock and Citadel Securities, could be a major event in the US equity capital market. TXSE promises to provide a more accessible and cost-effective alternative to existing exchanges, which will attract new participants and create new opportunities for investors and companies.
