SEC Approves 24X National Exchange for Nearly Round-the-Clock Stock Trading
The 24X National Exchange, a groundbreaking startup aiming to facilitate nearly 24-hour stock trading, has received approval from the US Securities and Exchange Commission (SEC). This new exchange will operate 23 hours a day, five days a week, marking a significant shift in how financial markets function.
A Vision for 24-Hour Trading
“The SEC’s approval is a thrilling milestone that our team has been working toward for years,” said Dmitri Galinov, Founder and CEO of 24X. He emphasized that traders are most at risk when markets in their geographic region are closed, a gap the exchange aims to address by offering seamless trading opportunities.
Cryptos Set the Standard for Round-the-Clock Access
The availability of cryptocurrencies, which trade 24/7 globally, has increased pressure on traditional stock markets to adapt. With crypto’s nonstop trading model offering unmatched flexibility, exchanges like 24X aim to bridge this gap for stock investors. This competition has catalyzed innovation, prompting the creation of extended-hour trading platforms for equities.
Debate Divides Wall Street
The idea of nonstop trading has polarized Wall Street:
- Proponents argue that it gives investors more flexibility to react quickly to global news and events outside traditional US market hours.
- Critics, however, warn that lower trading volumes during extended hours could lead to volatile pricing and reduced trading quality.
Emerging Trends in Overnight Trading
The demand for around-the-clock trading has been growing, particularly since the pandemic. Platforms like Robinhood Markets Inc. and Interactive Brokers Group Inc. already offer 24/5 stock trading through Blue Ocean’s alternative trading system.
In response, established players like the New York Stock Exchange have also filed applications to extend trading hours to 22 hours on weekdays, signaling increased competition in this space.
Criticism from Advocacy Groups
Despite the enthusiasm surrounding the SEC’s approval, the move has drawn criticism from consumer advocacy groups like Better Markets.
“Retail investors trading during overnight sessions face risks in markets with fewer buyers and sellers,” warned Benjamin Schiffrin, Director of Securities Policy at Better Markets. He argued that volatile pricing and limited liquidity during these sessions could result in less favorable outcomes for individual investors.
The Road Ahead
As 24X National Exchange gears up to launch, it enters a competitive environment shaped by crypto’s 24/7 trading model and increasing demand for extended access to equity markets. The decision raises important questions about how round-the-clock trading will reshape investor behavior, market volatility, and the overall trading ecosystem.
While it offers new opportunities, concerns about pricing precision and retail investor protections remain at the forefront of the discussion.
This approval marks a pivotal moment in market innovation, as extended-hour trading positions itself to redefine global stock market dynamics, inspired by the seamless accessibility offered by cryptocurrency markets.
Do You Think NSE & BSE Should Consider 24-Hour Trading?
With global markets like the 24X National Exchange enabling almost round-the-clock trading and crypto markets already offering 24/7 accessibility, do you think Indian exchanges like NSE and BSE should explore extended or 24-hour trading?
Would it help investors respond better to global events, or could it lead to challenges like lower liquidity and volatile pricing during off-hours?
Let us know your thoughts and what you’d like to see in the future of Indian markets! 
