MIAX Divestiture Announcement
In a significant development within the trading industry, Miami International Holdings (MIAX) has announced a forthcoming divestiture, selling a substantial 90% of its stake in MIAXdx, its derivatives exchange previously known as LedgerX, to both Robinhood Markets and Susquehanna International Group. This strategic transaction aims to bolster offerings in the burgeoning prediction markets sector and is anticipated to conclude by the first quarter of 2026, pending necessary approvals from the Commodity Futures Trading Commission (CFTC).
Ownership and Focus of MIAXdx
Despite the majority stake transfer, MIAX will maintain a 10% ownership in the exchange, signaling its continued interest in the area. MIAXdx, which is also recognized as a Designated Contract Market (DCM) and a Derivatives Clearing Organization (DCO), focuses on providing fully collateralized trading options in futures, options, and swaps.
Statements from Leadership
Thomas P. Gallagher, the Chairman and CEO of MIAX, highlighted the significance of this partnership, stating it aligns with the company’s growth trajectory by granting them faster access to the expanding prediction market landscape.
Robinhood’s JB Mackenzie shared enthusiasm for the collaboration, emphasizing the shared goal of delivering innovative trading solutions.
Background and Future Prospects
MIAXdx is based in Princeton, New Jersey, and notably transitioned from LedgerX after MIAX acquired it out of the FTX bankruptcy in 2023. As the industry continues to evolve, this joint venture is anticipated to bring fresh opportunities and innovations in trading products to the marketplace, enhancing the ways traders can engage with new asset classes.
