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Businesses The Almighty Buck United States

A Billionaire-Backed Texas Stock Exchange Is In The Works (forbes.com) 71

Cailey Gleeson reports via Forbes: A group backed by more than two dozen investors -- including Citadel Securities and BlackRock -- is planning to start its own stock exchange in Texas, it said Wednesday, in an attempt to compete with the New York Stock Exchange and Nasdaq. The Texas Stock Exchange (TXSE) -- owned by TXSE Group Inc. and founded in 2023, per its LinkedIn -- will be a "fully electronic national securities exchange" that seeks to expand access to markets for all investors and those seeking access to public capital, according to Wednesday's press release.

The TXSE aims to have primary listings, dual listings and exchange-traded products, according to The Wall Street Journal, which first reported the news. The stock exchange has raised $120 million in capital and plans to register with the Securities and Exchange Commission later this year, according to the press release, while it will also have a physical headquarters in Dallas, and the company will employ about 100 people, The Dallas Morning News reported. It plans to start facilitating trades in 2025 and host its first listing the following year, multiple outlets reported.
The Wall Street Journal notes that past attempts at regional stock exchanges have failed, such as the Chicago Stock Exchange and Philadelphia Stock Exchange -- both of which combined with the NYSE and Nasdaq.

"The NYSE considered relocating its electronic trading systems to the Dallas-Fort Worth area in late 2020, amid a proposed financial transaction tax on stocks in New York," adds Forbes. "But the move did not go through, nor the proposed tax,."
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A Billionaire-Backed Texas Stock Exchange Is In The Works

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  • by 93 Escort Wagon ( 326346 ) on Wednesday June 05, 2024 @07:31PM (#64526209)

    With blackjack! And hookers!

    In fact, forget the stock exchange!

    • They can use the Ft Worth Stock Yards.
    • The only trustworthy Texas stock has four hooves on the ground and goes moo.
      • by mendax ( 114116 ) on Wednesday June 05, 2024 @09:44PM (#64526411)

        Are you referring to the inhumane piece of shit who is the state's governor or are you referring to the criminal who is its attorney general?

        • I said moo, not oink.
    • With blackjack! And hookers!
      In fact, forget the stock exchange!

      They're billionaires so you can probably forget the Blackjack too.

      • With blackjack! And hookers! In fact, forget the stock exchange!

        They're billionaires so you can probably forget the Blackjack too.

        It's a stock exchange. The gambling is the whole reason for its existence. Blackjack is not required.

    • I don't quite get the headline, are the writers trying to imply that the NYSE is owned and run by poor people as opposed to the "Texas billionaires"?

    • Lela says: Bender, your forgot there's not even porn or a woman's right to choose in Texas. I recommend you stick to dice games and 3-card monte by the shores of the (other) Colorado river taking $20 at a time from homeless dudes and high school stoners ditching class.
  • Do not invest in a Texas stock exchange. Take your money and light it on fire. It's easier and you'll at least get a few moments of warmth out of it before it becomes worthless.
    • So you don't know what a stock exchange is or how they work.

      • So you don't know what a scam is or how they work.

        • by Xenx ( 2211586 )
          Not all bad business ideas are scams.
          • This one is.
            • by Xenx ( 2211586 )
              Unless you have some inside information, there is just no way for you to claim that as fact. Scams require specific intent to defraud. This sounds more like a, "We can do it too." idea.
              • Different person responding, this one is absolutely a scam.

                Scams require specific intent to defraud. This sounds more like a, "We can do it too." idea.

                It's cute you think poor people's laws apply to rich people. It's a scam. Everyone thinking otherwise, enjoy the scam. The neat part is because they have money and ins with the Government, the only ramifications for their scam is to say "sorry."

                I mean seriously. If you have $100, guess how much defense you're putting up on the intent argument. If you have $1B, guess how much the AG is going to have to work to prove intent. You all so innocent

                • So, you think they're going to set up a stock exchange, have everyone invest and then do a crypto rug pull and just take everyone's money? And they'll just get away with it and everyone will shrug?

                  Seriously?

                  Please explain the nature of this alleged scam.

                  • More likely they have no intention of ever getting an exchange up and running, but they can use the idea as cover for moving vast quantities of investor money into the pockets of consultants and vendors. Then when they fail to succeed as an exchange, their assets are gutted by private equity and their liabilities remain in a defunct company.

                    You know... basic corporate management stuff.

                • by Xenx ( 2211586 )

                  It's cute you think poor people's laws apply to rich people. It's cute you think poor people's laws apply to rich people.

                  It has nothing to do with law, and everything to do with the definition of scam. If you insist it is a scam, then provide the factual evidence proving it. I'm not denying it could be a scam. I'm only saying there is currently no evidence that it is one.

            • Re: (Score:2, Interesting)

              Have you notified the SEC of your information? They would like to know since they have to certify the Exchange to trade stocks.

              If you have not notified the SEC, the STFU, get your hands out of your pants, and make that call.

    • But wait until the winter.
      • Re: (Score:2, Interesting)

        Yes, indeed. Texas has that one-two punch of "independent power grid" and "can't make reliable power for shit". They will need that warmth during the next snow-pocalypse.
        • Yes, indeed. Texas has that one-two punch of "independent power grid" and "can't make reliable power for shit". They will need that warmth during the next snow-pocalypse.

          I always thought their faith based power system shitting the bed was just karma for Enron https://en.wikipedia.org/wiki/... [wikipedia.org].

          Noobs here might not remember Enron, the Houston based energy company, who in addition to all manner of other fraud, decided to show those left wingers in California https://www.latimes.com/archiv... [latimes.com]

    • by Cito ( 1725214 )

      Especially when it comes to Blackrock being involved.

    • by dbialac ( 320955 )
      Exactly. What part of the NYSE or Nasdaq is inaccessible? I used to work at a stock brokerage. In those days, stock trades cost $20 per trade. Today, it's free to buy and pennies to sell. Companies can go public by just buying into another companies failed business. There's a such thing as penny stocks, where you can go public without much of a viable business established yet. And the stock exchange is more interested in your money that any other personal characteristic.
    • I'll take a Texas stock exchange any time over a Bitcoin exchange. At least stocks have some regulation and if the stock exchange tanks, someone's is going to see consequences... grave consequences.

  • Between $3000/kWh (ERCOT 2021) and its own stock exchange (probably "AI" will be mentioned),

    What could possibly go wrong?

    E
    NB I'm not opposed to electronic abirtrage systems OR community power networks (or community broadbands). It's just that if there's a way to do it wrong, Texas will.

  • Especially if the very smart people from Texas invest in it. Then they can show the world the true power of personal responsibility and few regulations.

    • by mendax ( 114116 )

      There are smart people in Texas? Given the pieces of shit and criminals they vote into state-wide office who would have known!

      • Re: (Score:2, Insightful)

        by penguinoid ( 724646 )

        In fact, they should have Trump run that stock exchange. That way the outcome is guaranteed, and the right people will invest in it.

      • By comparison to NY, I'd say TX is a sterling place.
      • There are smart people in Texas? Given the pieces of shit and criminals they vote into state-wide office who would have known!

        Of course there are. We're just outnumbered by a lot of inbred trash who would cut off their own nose if it somehow "owned" a "lib". That is essentially 100% of the Republican platform.

    • by vlad30 ( 44644 )
      I'd bet on this being a result of business leaders seeing what happened to Trump and thinking lets move away from New York
      • Re:Sounds great! (Score:5, Insightful)

        by micheas ( 231635 ) on Thursday June 06, 2024 @01:35AM (#64526701) Homepage Journal

        I'd bet on this being a result of business leaders seeing what happened to Trump and thinking lets move away from New York

        While that may be true, a lot of the value of the NYSE is the New York laws that make financial misstatements criminal rather than civil issues. This puts the fear of state prison in a lot of CEOs and Boards thinking of lying on their books.

        While the businesses may want to do whatever they want, they also want investors, and investors would rather not be lied to by the companies they own.

        • This puts the fear of state prison in a lot of CEOs and Boards

          Apparently not former presidents though.

  • by Anonymous Coward

    And soon we'll hear that the Redneck is +100 points up in the news.

  • is NOT “billionaire backed”.

  • by stoicfaux ( 466273 ) on Wednesday June 05, 2024 @11:17PM (#64526555)

    Given Texas' power grid issues, building a reliable stock exchange may be tricky...

    • I was thinking the same thing. If the Texas power grid is any indication, this should be terrifyingly amusing.
    • 1965: https://en.wikipedia.org/wiki/... [wikipedia.org]
      1997: https://en.wikipedia.org/wiki/... [wikipedia.org]
      2003: https://en.wikipedia.org/wiki/... [wikipedia.org]
      2012: https://en.wikipedia.org/wiki/... [wikipedia.org]
      2019: https://en.wikipedia.org/wiki/... [wikipedia.org]

      To be clear, my point is not that New York City has a worse grid (they don’t). Rather, it’s simply that exchanges either deal with this sort of stuff already or they don’t. If they do, then why would we expect any differently of a Texas-based one? And if they don’t, why would we hold it to a

      • The longest of those listed was 2 days, most lasted just hours.
        Compare to Texas's 2021 power outage, of TWO WEEKS and THREE DAYS.
        2021 Texas Power Crisis: https://en.wikipedia.org/wiki/... [wikipedia.org]
        If you totaled all the ones you listed for NY, it would still be shorter than ONE Texas power outtage.
        Texas leads nation in power outages: https://www.houstonchronicle.c... [houstonchronicle.com]
        Texas comes in 2nd in five year span for outages. https://www.star-telegram.com/... [star-telegram.com]
        I am not sure if exchanges have the ability to deal with s
        • I lived through the event you're talking about, so you don't need to convince me that Texas' grid is unreliable. To repeat what I said...

          To be clear, my point is not that New York City has a worse grid (they don’t).

          That said, I need to correct your misunderstanding of its duration, because this is simply false:

          Compare to Texas's 2021 power outage, of TWO WEEKS and THREE DAYS.

          The blackouts only lasted three days (February 14–17). The duration you gave—which I assume you pulled from the blurb at the top of the Wikipedia article?—is referencing a boil water advisory in Houston that wasn't resolved until two weeks later. The remainde

          • Just for reference, a useful point of comparison might be Hurricane Sandy, which resulted in the NYSE closing for two days (October 29th and 30th). Mind you, power was out in parts of Manhattan for well over a month, with some parts of the city not getting it back until January.

            Again, the point I’m making is not that New York has a worse grid, but rather that these sorts of exchanges are built to be resilient, as evidenced by the NYSE’s quick return in the aftermath of a “once in a century

    • by CAIMLAS ( 41445 )

      There's no way Texas's power grid is unreliable. They're the state with the most green energy like wind and solar farms!

      https://www.saveonenergy.com/green-energy/texas-leads-in-renewable-energy/

  • A Billionaire-Backed Texas Stock Exchange Is In The Works

    Screw that! I prefer a "Broke Guy Backed Stock Exchange" myself!

  • Perhaps it's someone doing some forward thinking to if / when the State decides the Federal Government has absolutely lost its damn mind and begins its succession from the Union.

    Perhaps it's also why they don't agree to tie the Texas power grid to the National Grid.

    The less reliance a State has on the teat of Federal Funding, the easier it is to divorce yourself from it if / when it ever becomes necessary.
    ( Hopefully never, but I don't know of anyone who has much trust left in the Federal Government these d

  • And not just from protestors, but require traders to slog their way through I-35 traffic everyday just to shout trades for big oil, AT&T, Dell, and other meme stocks at each other.

"What is wanted is not the will to believe, but the will to find out, which is the exact opposite." -- Bertrand Russell, _Sceptical_Essays_, 1928

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