us-markets

How Do Stock Exchanges Make Money?

Source: Tyrian Trade
How Do Stock Exchanges Make Money?

It's a brilliant, multi-layered business model. They profit from every part of the ecosystem. Here’s the breakdown

How Do Stock Exchanges Make Money?
It's a brilliant, multi-layered business model. They profit from every part of the ecosystem. Here’s the breakdown:
💵 Listing & Annual Fees: Companies pay to be on the prestigious "shelf" and continue paying yearly to maintain their spot.
💵 Transaction Fees: Exchanges charge a tiny fee for every trade executed. Think fractions of a cent. But with billions of trades daily, this sums up to colossal revenue.
💵 Market Data Sales: This is huge. Exchanges have a monopoly on their real-time, historical, and reference data.
💵 Technology & Connectivity Services: They sell ultra-low-latency direct market access, colocation services, and licensing for their trading software.
At Tyrian Trade, we respect this model but are building a decentralized marketplace for alpha. Instead of being just a cost center for you, we empower you to become the exchange.