16 Jul 2025
💰Nasdaq Proposes New Credit Rule to Enhance Trading Liquidity
Self-Regulatory Organizations; The Nasdaq Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Introduce a New Credit Under Equity 7, Section 118(a)
Summary
The Nasdaq Stock Market has proposed a rule change to introduce a new liquidity credit aimed at incentivizing members to add displayed liquidity in equity transactions. The new structure is designed to enhance overall market quality and encourage greater trading activity across all securities.
Agencies
- Securities and Exchange Commission
Business Impact
$$$ - High
The proposed rule change by Nasdaq introduces a new credit of $0.0029 per share for members who add liquidity, incentivizing trading activity. This can lead to increased market volume and better execution prices for businesses, impacting trading dynamics significantly.