Upstream: Experience a next generation trading venue with real-time trades and settlements

Upstream
5 min readDec 1, 2023

Elevate your trading experience and the trading experience for your digital-first investors with instant trades and settlements

By Fernanda De La Torre

Current inefficiencies with stock settlements today

In the world of financial markets, settlements are the crucial finalization of trades, involving the transfer of ownership and payment between buyers and sellers. Traditionally, this process takes days, often denoted as T+2, and even T+5 in the past, implying a settlement period extending five days beyond the transaction. Once the settlement is complete, the buyer’s name is officially recorded on the company’s shareholder register, making them eligible for dividends if applicable.

T+0 on Upstream: modernization with real-time settlements

Upstream, a MERJ Exchange market, introduces the concept of T+0 settlement, marking a groundbreaking departure from the conventional settlement period. Thanks to Upstream’s smart-contract powered matching engine, our trades are executed in real-time. This means there’s no delay between the occurrence of a trade and the updating of ownership records. With Upstream, the settlement process is instant and seamless, providing a beneficial leap in efficiency for issuers and their investors.

The benefits of instant settlements on Upstream

Peer-to-peer execution and instant settlement: Upstream introduces a transformative model with its peer-to-peer execution and instant settlement mechanism. Upstream’s public level 2 orderbook is powered by smart-contract technologies where all bids and offers are shown to users, free of charge. Trade executions are transparently performed on a best bid/offer basis. This innovation minimizes reliance on intermediaries and expedites the entire trading process.

Real-time trading with smart-contract security: The deployment of on-chain orderbooks, fortified by smart-contracts, not only ensures the prevention of predatory market practices like short selling, but also bolsters the security and transparency of transactions. Issuers can be confident in the accuracy and visibility into the trading ecosystem.

Overall efficiency: Instant settlement, as championed by Upstream, carries far-reaching implications for efficiency, dividend distribution, and the overall precision of capital tables. With transactions settled immediately, the entire trading process becomes streamlined, reducing operational complexities and enhancing accuracy for issuers.

Enhanced liquidity potential: With transactions settling in real-time, assets become available for trading again immediately, fostering a more fluid and dynamic market environment and more liquidity potential. With trading available on Upstream 20 hours a day, 5 days a week; T+0 settlement could facilitate more global trading by eliminating the time zone constraints associated with traditional settlement periods.

Conclusion

Upstream’s embrace of instant settlements not only marks a departure from tradition but heralds a new era of efficiency, security, and global accessibility in the world of financial transactions. We aim to provide our issuers with a competitive edge in the market. Embrace the future of trading efficiency and explore the immediate benefits of listing on Upstream’s next generation exchange. With T+0, Upstream is not just rewriting the rules; it’s redefining the game. Join the future of trading at https://upstream.exchange/GetListed.

Disclaimers

U.S. persons may not deposit, buy, or sell securities on Upstream.

This communication shall not constitute an offer to sell securities or the solicitation of an offer to buy securities in any jurisdiction where such offer or solicitation is not permitted. NFTs have no royalties, equity ownership, or dividends. NFTs are for utility, collection, redemption, or display purposes only. Anyone may buy and sell NFTs on Upstream. All orders for sale are non-solicited by Upstream and a user’s decision to trade securities must be based on their own investment judgment.

Upstream is a MERJ Exchange market. MERJ Exchange is a licensed Securities Exchange, an affiliate of the World Federation of Exchanges, a National Numbering Agency, and a member of ANNA. MERJ is regulated in the Seychelles by the Financial Services Authority, https://fsaseychelles.sc/, an associate member of the International Association of Securities Commissions (IOSCO). MERJ supports global issuers of traditional and digital securities through the entire asset life cycle from issuance to trading, clearing, settlement, and registry. It operates a fair and transparent marketplace in line with international best practices and principles of operations of financial markets. Upstream does not endorse or recommend any public or private securities bought or sold on its app. Upstream does not offer investment advice or recommendations of any kind. All services offered by Upstream are intended for self-directed clients who make their own investment decisions without aid or assistance from Upstream. All customers are subject to the rules and regulations of their jurisdiction. By accessing the site or app, you agree to be bound by its terms of use and privacy policy. Company and security listings on Upstream are only suitable for investors who are familiar with and willing to accept the high risk associated with speculative investments, often in early and development-stage companies. U.S. persons may not deposit, buy, or sell securities on Upstream. There can be no assurance the valuation of any particular company’s securities is accurate or in agreement with the market or industry comparative valuations. Investors must be able to afford market volatility and afford the loss of their investment. Companies listed on Upstream are subject to significant ongoing corporate obligations including, but not limited to disclosure, filings, and notification requirements, as well as compliance with applicable quantitative and qualitative listing standards.

Forward-Looking Statements

This communication contains “forward-looking statements.” Such statements may be preceded by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential,” or similar words. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company’s control, and cannot be predicted or quantified, and, consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, without limitation, risks and uncertainties associated with (i) difficulties in obtaining financing on commercially reasonable terms; (ii) changes in the size and nature of our competition; (iii) loss of one or more key executives or brand ambassadors; and (iv) changes in legal or regulatory requirements in the markets in which we operate. The Company assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise.

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Upstream

A MERJ Exchange Market. Ethereum-powered trading app for digital securities and NFTs. Learn more at https://upstream.exchange/.