Max Artemenko
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Five Ways Blockchain Will Disrupt Mainstream Financial Technology

In order to make a major breakout, blockchain must attract the institutional investors who can propel it and that is beginning to unfold.

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May 25, 2007

CHX Hits Jackpot with Broker Investments

By Gregory Bresiger

Regional exchanges, with Reg NMS implementation looming and some of them expected to obtain new trade reporting facilities, are hot properties. The Chicago Stock Exchange (CHX) just received a $20 million cash infusion for a minority stake from a bevy of trading heavyweights.

The new CHX Holdings shareholders are Goldman Sachs, Bear Stearns, Bank of America and E*Trade Financial. Dave Herron, CEO of the CHX, said the big brokerages are making these investments in regionals because of competitive pressures. He said the brokerages are looking at the potential duopoly powers of the New York Stock Exchange and Nasdaq.

"As public entities, there is the fear that these two entities may not be as responsive to their needs; that they'll raise fees excessively," Herron told Traders Magazine.