Exchange

An exchange is an organized marketplace in which financial instruments – such as cryptocurrencies, commodities, and securities – are traded. An exchange may operate on a real-world facility or on a digital platform. Many traditional exchanges, which were initially restricted to physical trading, are now providing digitized services as a way to enable electronic trading (also known as paperless trading).

Within stock exchanges, the most important one in a given country is called the primary exchange. A few examples of primary exchanges include the New York Stock Exchange, the Tokyo Stock Exchange, and the London Stock Exchange. Most stock exchanges present a strict listing criterion, which ensures that only companies that meet certain requirements are effectively listed.