NASDAQ plan to offer 24-hour business by 2026



Nasdaq is preparing to start a 24-hour trading on its platform until the second half of 2026, pending regulator approval.

Nasdac seems to adopt strategies from Crypto markets with this initiative. It aims to give more flexibility to investors, align with global markets and increase access to capital. Nasdaq President Tal Cohen Stated The exchange is working to ensure that the necessary infrastructure and regulatory structure are applied before implementation.

This initiative will create the first major American stock exchange to operate Nasdaq around the clock, traditional 9:30 am to 4:00 pm in the business hours of the eastern time.

“We are excited to share that NASDAQ has begun to engage with regulators, market participants and other key stakeholders,” Cohen wrote, “With an approach to enabling 24-hours of trade on the NASDAQ stock market five days a week.”

This means that the markets will still be closed on the weekend.

Currently, pre-market and subsequent sessions offered limited trading. The 24-hour model of the Nasdaq can significantly affect market liquidity, allowing investors to react to global events in real time without waiting for the market to open.

Maintaining liquidity and preventing excessive volatility outside traditional business hours will require cooperation between exchanges, market manufacturers and regulators.

NASDAQ is expected to work closely with Securities and Exchange Commission and other industry stakeholders to navigate these complications.

Implications for Crypto and Bitcoin ETF

The 24-hour trading model coincides with the Crypto market, where assets such as bitcoin (BTC) continuously trade without centralized oversight.

The introduction of spot bitcoin exchange-traded funds in early 2024 has already bridged some intervals between traditional finance and digital assets. Nasdaq’s innings can integrate crypto-related products in mainstream markets.

Spot bitcoin with ETF, such as Blacrock’s Ishras Bitcoin Trust, obtaining traction, the ability to trade these devices in all hours can increase liquidity and price discovery. Bitcoin ETF option trading has also gained momentum, which reflects the growing institutional interest.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *