[00:00:00] This week in the parish of Bourses and Market Structure. Turkish upheaval as India excels, Tanzania soars, DTCC is even riding high and Euronext has a good quarter too.
[00:00:14] My name is Patrick L. Young. Welcome to the Borscht Business Weekly Digest. It's the Exchange Invest podcast, episode 371.
[00:00:32] Foreign.
[00:00:44] Ladies and gentlemen, this is a very brief reduction of highlights amongst the key headlines from the week in Market Structure. All the analysis of the many events and happenings from the past seven days can be found in Exchange Invest Daily subscriber newsletter, the unique guide to the Boris business sent daily to your inbox. More
[email protected] over in BitCarnage is it a case of safecoin? Quite a statement to make and could turn out to be hubristic. Coinbase says 99% of customer crypto is offline and out of hacker's reach.
[00:01:14] If you enjoyed this excerpt, you may be interested to know you can read Bitcarnage every day in Exchange Invest. Alternatively, if you want a full of Bitcarnage, the daily update on happenings in the world of crypto and digital assets, you can find Bitcarnage as a standalone on Substack.
[00:01:28] Meanwhile in Turkey, it's a bloodbath in the markets in the wake of the funds issue that we've been discussing throughout the course of the last week in Exchange Invest. CEO of the Exchange is in jail. The head of the CSD has also resigned in disgrace and been jailed and the total at the moment is 112 people arrested amongst 433 suspects, including 186 people placed under judicial control and 38 remaining at large with investment warrants issued against them. In results, Indian exchanges have been on fire this quarter. NSE was only up 23%, shaded by stunning performances from BSE and an MCX which is still recovering from its mismanaged matching engine Swap. Beyond those scintillating numbers, including 130% profit after tax jump at MCX, we also had incredible numbers from Dar es Salaam's exchange as the bumper quarter continued. Tanzania's stock Exchange profit up 100% and 64% no less. Even DTCC got in the act with quite considerable profits jumps as the US Stock market has remained hot.
[00:02:41] Euronext also producing excellent results as the Bougina era is in its twilight now. I'm not quite in our top stories this week, but nonetheless very interesting. Coinbase, those people who are saying that they're not worried about the possibility of a hack, they have received a full U.S.
[00:02:56] trust charter from the banking regulator, that federal banking license. I wonder does it open the possibility that legacy exchange groups may now seek banking charters in some way to work with their CCPs, for example, even in the case of CME and Mayax to work with their brokerage arms. Polymarket has received NFA approval for its future commission merchant, but at the same time, that possibly has ramifications, as we'll see in just a moment when we come back to prediction markets. The Korean exchange, meanwhile, it's setting up a plan for shorter settlement for stock trading T2. They've been operating since 1972. Truly early adoption that's going to give way in early 2028 to T1, with the infrastructure apparently being completed for testing by next October.
[00:03:42] Thanks for listening to Exchange Invest Weekly. We welcome your feedback. You can contact me directly patrickrivativesvision.com with any comments. Meanwhile, if you enjoyed this show, we would welcome you giving us a thumbs up. Or if you have time, a positive review will always be welcome wherever you find this podcast Back to the Prediction Markets A victory lap According to Yahoo Finance, after prediction markets called the election before the TV networks. At the same time Bloomberg reported this as prediction markets get a passing grade on the midterms. Now there's a problem for prediction markets because they're caught between a rock and a hard place. The selling commission argues it has jurisdiction federally, but overall there are a series of states which want to manage to find, if nothing else, avenues towards orange jumpsuit time for the prediction markets. That causes a huge problem in pushing to sanction regulated platforms which are caught in the middle of this vicious argument between the states and federal rights does seem a strange decision by monocommissioner Selig to serve as CFTC chairman and threaten to punish the prediction markets who are at the same time under pressure state by state once again. Again, our prediction previously has been that prediction markets may yet suffer death by a multitude of legal actions and that appears to be ever more feasible. The sting in the tail for prediction markets this month has been the midterm elections. Now is the time runs a political headline from Politico Victorious Democrats vow to rein in prediction markets. Kalshee raised a billion at $40 billion in the past fortnight that already looked frothy before the electoral re up politic brought Trump train to a siding if not an indefin halt. Over in Indonesia they're still trying to lick their wounds and recover from the MSCI downgrade fiasco. And in results, as I mentioned earlier, spectacular results are low across India Hong Kong exchanges they have actually been a laggard this quarter, effectively profitable attributable to shareholders even dropping 1%. Rather disappointing all round. Euronext as I mentioned the head of the show transforming trading up 30.2% with their net income and even Reuters got to the plus 10% revenue growth but well being Thomson Reuters they managed to still deliver diluted EPS of -17%. Good old Reuters revenue leaps by double figures but net profits are down nearly 20% in new markets. CFTC have approved STX just in time. Another new prediction market and clearing house as a regulated exchange and this is built upon something which is akin to the model of flutter from the turn of the previous century. Not so much action in deals this week. Meanwhile, don't forget, if you fancy something financial insights with moving pictures, check out our livestream. That's IPO vid. We're coming to you every fortnight. The show is now dropping On Tuesdays at 05:00 London time, midday New York time. Catch the back episodes on LinkedIn and YouTube via IPO vid. And don't forget, you too can sign up for a subscription to Exchange Invest. Why not even start with a subscription to our weekend? It's free, we offer Macro comment on a Saturday and a Sunday. Over in product news, will it be a load of hot air? ICE are going to be launching wind futures and an expansion of their global energy markets, while China has halted listings in a bid to bolster the struggling stock markets. Meanwhile, Myax is filing with the SEC to offer cash settled binary index options and KPI binary options on their SEC registered exchanges. One standout story in technology this week, NSE in India are rolling out direct to chip liquid cooling to scale their AI computing capabilities. They're planning to scale their overall GPU capacity at their relatively new to them, new office spaces, hyperscaling AI makes sense so long as bourses see a business opportunity and not sadly as a few appear to an opportunity to merely reduce overheads. In career news, Stacey Cunningham has turned Bullish. Congratulations to the former NYSE President and noted amateur gastronomer Stacey Cunningham, who's joining Bullish as President, joining the CEO Tom Farley, who was Stacey's predecessor as NYSE President. Cunningham also serves on the board of Internet infrastructure and cybersecurity provider cloudflare, the New York Stock Exchange itself and Georgetown University's Centre for Financial Markets and Policy.
[00:08:07] Meanwhile, it's all happening on the House. Everybody in the Democratic Party who wants to be a chair is putting their name forward and it looks as if it's going to be a somewhat more anti crypto stance from all committees imaginable vermiculous. Meanwhile, they've appointed the excellent Alexander Killian as Chief Information Security Officer. And of course, as I mentioned at the top of the show, the Turkish markets are in some degree of chaos with a huge raft of arrests over in Big World amidst an election defined by apparently 90% of voters being concerned about corruption and thus turning on the incumbent Trump regime. One GOP loser may be significant for the Exchange Parish seeking a fourth term as Governor. Greg Abbott was defeated by Democrat Gina Hinojoza. It will be interesting to see how eager the new Governor of Texas is to support Yall street and the stock exchange culture Abbott definitely nurtured. And as a final point to consider, the Polish Central bank chief has left open the door to buying more gold after hitting a 700 ton target. That ought to be good for the zotty. And on that mysterious and magnificent note, thank you for listening to this AI weekly podcast 371. Join us daily via exchangeinvest.com or if you have a new exchange or marketplace you'd like built, get in touch. My name is Patrick L. Young and I wish you a great week in life and markets.
[00:09:40] This show relates to the business of bourses. It is not to be construed as investment advice nor are we making any investment recommendations.
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