Who is really the bad guy here? Hint hint: It ain’t SHITADEL. 🍦🐻👀
This is an opinionated DD. I had an opinion so I did some DD. This is not financial advice.
I posted last night about this. I’ve done a little more digging today. I’m a smooth brained ape with few wrinkles so allow me to ape-ify what is going on here.
Let’s start with this. ICE bears, we see you. ;)
ICE is the Intercontinental exchange. ICE is a subsidiary of the NYSE. CEO of NYSE and ICE is Jeffrey Sprecher. He is married to Kelly Loeffler (this is where the rabbit hole started for me). She is a former senator in the state of GA and CEO of Bakkt, a subsidiary of ICE. Bakkt uses Microsoft’s online servers to manage digital assets starting with none other than b i t c o i n. In January 2021 Bakkt went public on NYSE via a SPAC merger w VPC.
https://en.m.wikipedia.org/wiki/Intercontinental_Exchange#Bakkt
ICE operates global exchanges, clearing houses and provides “mortgage technology,” data and listing services.
Let me break it down.
They acquired;
CONSUMER/BUSINESS RESEARCH TECH Interactive Data Corporation (IDC) 20 Standard & Poor’s Securities Evaluations (SPSE) 2016 BofA Merrill Lynch Global Research Index Platform-2017 Ellie Mae-2020.
HIGH FREQUENCY TRADING TECH Virtu BondPoint-2017
BROKER/DEALER IN FIXED INCOME SECTOR TMC Bonds LLC -2018
E-MORTGAGE SECTOR MERSCORP Holding, Inc-2018 Simplifile, LC-2019
And let’s not forget Chicago Stock Exchange (CHX)-2018
It is also worth noting that they (ICE/NYSE) attempted a merger with NASDAQ in 2011.
https://s2.q4cdn.com/154085107/files/doc_news/archive/14d5f5ee-79a4-411f-acd4-64ed3d4d91a4.pdf
This move was not made possible to to regulators belief that this would create a monopoly.
NYSE and NASDAQ have become powerhouses when it comes to listings. This is in part due to the high frequency trading technology that their subsidiaries and partners are involved in. They also make more money by using payment for order flow and allowing these HFT to execute trades nano seconds ahead of bulk retail trades, causing most short term retail investors to lose money and hindering the growth potential for long term investors.
I was able to find the 2017 investor Presentation docs and learned that ICE’s ability to pull in excess revenue was due to their “share buybacks.” What an eloquent way of saying shorting the shit out of businesses.
https://s2.q4cdn.com/154085107/files/doc_presentations/2017/4q17-v2-investor-deck.pdf
Let me put it together for you;
ICE has acquired the technology and ability to monopolize the market - just short of merging with NASDAQ. Collectively NYSE and NASDAQ have adopted technology that cheats the little guy and keeps the competition next to none. From processing everything from mortgage applications to securities clearing and utilizing research technology to determine which businesses stand to lose (even just a little) then getting ahead of retail traders to short those businesses (businesses listed by NYSE and NASDAQ) and take retail’s money. When the CEO of the NYSE/ICE has made his wife CEO of a crypto trading firm and then she gets temporarily elected as a GA senator, you should know the whole system is rigged against you. It’s already a monopoly.
Enter IEX. IEX has a goal to make the market fair for retail traders and businesses alike. The first and only to be listed is IBKR who ends up backing out because of fewer market makers trading their stock on IEX than NASDAQ. So IBKR had good intentions but ultimately good intentions didn’t pay the bills.
https://en.m.wikipedia.org/wiki/Brad_Katsuyama
IEX is working hard to help the little guy. NYSE and NASDAQ seem to be all for the 1%. Apes want to make a difference, understand who you are with and who the real enemies are. Citadel just uses ICE’s technology, they are a pawn. BoA, JPM, Virtu all use their technology and THAT is why the ridiculous shorting happened.
https://www.thetradenews.com/citadel-securities-virtu-jp-morgan-bank-america-first-join-ice-etf-hub/
Fair trading coming soon to a brokerage you can trust!
https://www.marketsmedia.com/iex-exchange-targets-retail-trading/
Posted May 7, 2021, 6:35 PM UTC