Weekly Roundup

Stock Trade Pricing: The SEC’s five-member commission said that it will consider proposing rules in an open meeting next week to help small investors get better prices on their stock trades. If the panel majority supports the proposals, they will be opened to public comment before the SEC decides whether to finalize them.

Robinhood Retirement: Robinhood announced its new offering, Robinhood Retirement, the “first and only individual retirement account (IRA) with a 1% match on every eligible dollar contributed.” The new retirement offering is aimed primarily at gig economy workers who typically don’t have an employer offering a 401(k) plan.

Retail Survey: According to a new survey from London-based investing insights platform Finimize, only 1% of retail traders plan to sell off their investments in 2023, while 65% will continue investing, and 29% plan to add to their portfolios. A majority (72%) of respondents plan to buy individual stocks next year, with 64% favoring Big Tech names like Apple, Microsoft, Google, and Meta.

Crypto Sentiment: Americans’ opinions on crypto have taken a sharp turn for the worst according to the latest CNBC All-America Economic Survey. Just 8% of Americans have a positive view of crypto, down from 19% in March 2022. The change in sentiment represents crypto’s dramatic fall from an investment that was once touted as its own asset class.

Fintech Social Media: Fintech apps are becoming increasingly social. For example, Shares is an app that turns retail stock trading into a social experience. The app enables users to see what their friends have bought and sold, encouraging discussion. Another app, Loop, allows users to borrow or lend money to friends while integrating social aspects. It awards badges for certain actions, such as promptly repaying loans.

Crypto Reporting: According to a draft of the National Defense Authorization Act (NDAA), the State Department will have to report any crypto payment it makes within 15 days of the transaction. The department will also be required to submit a report to the same committees about the use of crypto for rewards within six months of the act being enacted.

Silvergate Statement: In a US regulatory filing on Monday, Silvergate defended its role in accepting deposits for Sam Bankman-Fried’s conglomerate. The bank asserts that they conducted “extensive due diligence” on crypto exchange FTX and trading shop Alameda Research and highlighted the links Bankman-Fried’s crypto companies had with the US financial system.

In the Mix: This Week’s Top FinTech Thought Leader

  • Kirsten Wegner, Modern Markets Initiative CEO, wrote an op-ed for RealClear Markets outlining imperatives that all policymakers should support to preserve the vital foundational underpinnings of the U.S. markets and secure savings for Americans of all income classes.

    Adrian Griffiths, MEMX Head of Market Structure, wants the SEC to reconsider the MEMX Retail Midpoint Liquidity Program. In the wake of the SEC’s anticipated rulemaking surrounding the market restructure debate, MEMX submitted a letter urging the Commission to think carefully about how the program – and the disapproval thereof – fits into the debate on competition for retail order execution. 

    Lynn Martin, NYSE president, shared insight on the 2023 market during Yahoo Finance Live. “I think the markets will continue to try to find their footing,” she said. Martin said that better performances for stocks and the IPO market boils down to the Federal Reserve’s execution on its policy actions.

    David Schwimmer, London Stock Exchange Group CEO, said that large spikes in volume associated with algorithmic trading have worsened recent market volatility, exposing weak links in the global market infrastructure.

    Jeffrey Sprecher, ICE CEO, said that cryptocurrencies will likely be regulated under existing securities laws, and traditional players like the NYSE may move into tokenized trading. “They’re going to be regulated and dealt like securities,” Sprecher said.

    Stuart Alderoty, Ripple Labs Chief Legal Officer, is putting up a tough fight against the SEC, as the Ripple vs SEC lawsuit nears its 2-year mark. Soon the case may enter a new phase: a federal judge is reviewing dueling motions from Ripple and the SEC, each asking the suit to be resolved in its favor.

    Episode 3 of Study Hall season 2 is out now! In case you missed it, Kirsten Wegner sat down with author Cady North and American Retirement Association CEO Brain Graff to demystify saving. Listen here: buzzsprout.com/1893041/11794064