#USHouseMarketStructureDraft: A Bold Step Toward Market Modernization and Fairness
The U.S. House Financial Services Committee has unveiled a comprehensive Market Structure Draft that aims to reshape how our capital markets function—from equities and digital assets to clearing and settlement mechanisms. This initiative reflects a critical evolution in policy thinking, focused on transparency, innovation, and equal access.
Key Highlights of the Draft:
Proposes a clearer regulatory framework for digital assets, giving both the SEC and CFTC defined oversight roles.
Encourages competition in trade execution, reducing conflicts of interest in Payment for Order Flow (PFOF) practices.
Supports enhanced transparency and pricing efficiency through updated reporting standards.
Aims to modernize clearing and settlement systems to reduce risk and increase transaction speed.
Why It Matters: For institutional investors, brokers, fintech innovators, and everyday market participants, this draft sets the tone for a more level playing field. The U.S. market structure hasn’t had such a sweeping reform proposal in decades—this could be the most transformative period since Reg NMS in 2005.
Technical Perspective: From a systems design viewpoint, shifting toward real-time settlement (T+0) and reducing intermediaries could drastically improve capital efficiency. The integration of blockchain and distributed ledger technologies (DLT) into mainstream market infrastructure is no longer just theoretical—it’s becoming legislative.
Opportunities Ahead:
Fintech Companies: More room to innovate within a well-defined legal framework.
Investors: Better price discovery, lower trading costs, and faster access to capital.
Market Professionals: Need to upskill in tech-driven finance and compliance trends.
What’s Next? The draft is open for discussion, and bipartisan support appears possible—a rare and positive sign in today’s political climate. If passed, this could attract more global investment, reinforce trust in
