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SEC approves Texas Stock Exchange, first new US integrated exchange in decades

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Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#181

Post by bdcravens »

vel0city wrote: post #174
cozzyd wrote: post #112

Earlier quoted context omitted.

I'm not sure what is meant by Redditors... I haven't used Reddit in many years. Admittedly anectodal, but I don't remember any power outage here in Chicago over the last 11 years I lived here, but I was in Texas for work for a few weeks this summer at the NASA balloon base and there were multiple power outages.

Anecdotal, but I've lived in DFW for over a decade. The only time I lost power for more than a minute was due to a drunk driver hitting a utility pole just outside my house. They had the pole fixed and everything working again within an hour.

Having lived in both DFW and Houston, I will definitely say Houston's infrastructure is much more fragile, but the weather is also much more extreme.

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#182

Post by pants2 »

robocat wrote: post #130
SkipperCat wrote: post #13

The Miami stock exchange (MIAX) has their matching engines colocated in Equinix's NY4 data center in Secaucus NJ, much like many other exchanges. I would not be surprised if TXSE does the same. Many trading firms already have their trading engines in that data center and I would assume TXSE would want quick access to that order flow and this might be easier if they are in NY4. Of course, they may want to have their c…

> I would assume TXSE would want quick access to that order flow Perhaps Texas could use a different trading model that doesn't require ultra high speed trading. Matt Levine often mulls the idea of a system with a trading window that doesn't let the fastest connection to the order book win. Perhaps an order book that works at human speeds so humans can trade too (I can think of a few ways to do it - but would need mo…

One interesting approach to this is the gas auction system in DeFi where (on Ethereum) traders bid to have their trades included first in a block, and that additional payment is burned / accretive to ETH holders. Though that turns "fastest connection" into "highest bidder" advantage.

Another approach that Aztec and some others are taking is to shield all transactions with zkSNARKs such that the intent of a transaction isn't known until it's completed. Combined with deterministic block times you could force random ordering of transactions in batches, effectively mitigating the fastest connection OR highest bidder advantage.

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#183

Post by mhh__ »

robocat wrote: post #130
SkipperCat wrote: post #13

The Miami stock exchange (MIAX) has their matching engines colocated in Equinix's NY4 data center in Secaucus NJ, much like many other exchanges. I would not be surprised if TXSE does the same. Many trading firms already have their trading engines in that data center and I would assume TXSE would want quick access to that order flow and this might be easier if they are in NY4. Of course, they may want to have their c…

> I would assume TXSE would want quick access to that order flow Perhaps Texas could use a different trading model that doesn't require ultra high speed trading. Matt Levine often mulls the idea of a system with a trading window that doesn't let the fastest connection to the order book win. Perhaps an order book that works at human speeds so humans can trade too (I can think of a few ways to do it - but would need mo…

I suppose you could but the problem is that the liquidity would be either shit or more charitably very different to other exchanges that already do what they're supposed to do.

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#184

Post by crazygringo »

victor106 wrote: post #118

> At $2.4 trillion, Texas' economy is larger than many countries', including Russia, Canada and Italy, according to a report from the governor's office. California's economy is $4.1 trillion and has a much higher chance of growing larger with most of the AI companies based out of CA.

What relevance does that have? I genuinely don't understand the purpose of your comment.

It's not like the article was suggesting Texas had America's largest state economy. It was just showing that it is large. Which it is.

What does California have to do with anything?

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#185

Post by the_duke »

hackernewds wrote: post #121
J_Shelby_J wrote: post #109

Earlier quoted context omitted.

Equinix Dallas was hours from running out of fuel during the last snowpocalypse.

It would be helpful for readers to know what Equinix is > Equinix's infrastructure supports the digital services businesses rely on, from cloud computing and enterprise applications to content delivery and financial trading platforms.

They are a very popular "high end" server colocation provider and have their own network with many peering agreements.

A lot of large companies put their servers into Equinix data centers.

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#186

Post by stuartjohnson12 »

schlauerfox wrote: post #156
robertlagrant wrote: post #139

Earlier quoted context omitted.

> He points out that most trades are done in the last hour, so really trading only needs to occur once a day. Presumably then the last trader has the most information, and so the game would be getting the info as late as possible and trading as late as possible, but not too late.

That's one thing that will make blockchain trading interesting as it's discreet block by block, such as the ex-dividend date who holds a stock when the dividends are paid, might make fees for that block very competitive. The SEC is really struggling now with good regulation but it's coming end of the year to draw the line in the sand.

I was going to make the old joke about discrete vs discreet but I suppose that blockchain trading is both.

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#187

Post by vel0city »

bdcravens wrote: post #181
vel0city wrote: post #174

Earlier quoted context omitted.

Anecdotal, but I've lived in DFW for over a decade. The only time I lost power for more than a minute was due to a drunk driver hitting a utility pole just outside my house. They had the pole fixed and everything working again within an hour.

Having lived in both DFW and Houston, I will definitely say Houston's infrastructure is much more fragile, but the weather is also much more extreme.

Yes, I agree. It was common to lose power for a day or so when the big hurricanes rolled through growing up Houston.

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#188

Post by bdcravens »

lighthazard wrote: post #72
chronic74939 wrote: post #67

Earlier quoted context omitted.

> Hope they have ample backup power Texas has more reliable electricity than California considering the California electricity provider PG&E shuts off the electricity multiple times a year when it gets windy outside, to prevent power lines falling (due to lazy maintenance) and starting a wildfire I wonder where the California’s additional 13% tax on capital gains is being spent? SF parking ticket enforcement?

Wondering why you'd bring up California in a discussion about Texas.

"us versus them", "blue vs red", "liberals vs conservatives"

Texas is the favorite punching bag of the left, and California is the favorite punching bag for the right. When one side is attacked, they defensively jump to the default. Which is kind of ironic, when you consider there's more Democrats in Texas than in many "blue" states, and the inverse is also true for California.

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#189

Post by immibis »

javier123454321 wrote: post #89

Pardon my ignorance but can anyone can help me figure out what does it mean to have a new stock exchange? Dont exchanges sell the same stocks? Is it just a way to earn some fees by capturing some of the trades in their platform? I'll obviously google it now but I'd appreciate some insight.

Surprisingly, no - moving a stock from one exchange to another is a lot harder than selling on one and buying on another (and slower, and more costly for small quantities), so stocks are surprisingly immobile. Only if you really had to, would you move them. And most stocks have one particular home exchange and there's no reason to trade them anywhere else than the one place that has the highest volume and lowest spreads for that stock.

Re: SEC approves Texas Stock Exchange, first new US integrated exchange in decades

#190

Post by idiotsecant »

pants2 wrote: post #182
robocat wrote: post #130

Earlier quoted context omitted.

> I would assume TXSE would want quick access to that order flow Perhaps Texas could use a different trading model that doesn't require ultra high speed trading. Matt Levine often mulls the idea of a system with a trading window that doesn't let the fastest connection to the order book win. Perhaps an order book that works at human speeds so humans can trade too (I can think of a few ways to do it - but would need mo…

One interesting approach to this is the gas auction system in DeFi where (on Ethereum) traders bid to have their trades included first in a block, and that additional payment is burned / accretive to ETH holders. Though that turns "fastest connection" into "highest bidder" advantage. Another approach that Aztec and some others are taking is to shield all transactions with zkSNARKs such that the intent of a transactio…

The real question is whether we even need stock exchange organizations if we can do it all on chain without them. I think the only thing you really need is someone to handle the stock ownership credentials in the event that legal action require involuntary transfers, that sort of thing. That could be a much smaller footprint organization, I think.
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