A bold new financial chapter is unfolding in Dallas with the emergence of the Texas Stock Exchange (TXSE), the first fully integrated exchange to file a Form 1 registration with the SEC in 25 years. Spearheaded by veteran market leaders and backed by some of the world’s largest institutions, the TXSE is positioning itself as a disruptive force to the entrenched duopoly of the New York Stock Exchange and Nasdaq. As Governor Greg Abbott proudly declared earlier this year, Texas isn’t just participating in the financial sector, it’s aiming to lead it. His declaration that “business is booming so much that we now have our own stock exchange” reflects both the symbolic and economic significance of the TXSE’s arrival.
According to Disruption Banking, the foundation for TXSE’s rise isn’t being built from scratch. Dallas-Fort Worth has quietly become a financial powerhouse over the past decade, now boasting more finance and banking jobs than New York, a historic shift last seen more than three decades ago. Multinational firms like Goldman Sachs, JPMorgan Chase, Charles Schwab, and Fidelity have made Dallas a central hub, with campuses employing thousands. Goldman alone has over 4,600 employees in the region, while JPMorgan has more workers in Texas than in its home state. Texas’s $2.4 trillion GDP in 2022, eighth in the world, makes the state’s economic ambitions more than mere rhetoric. It’s a natural backdrop for TXSE’s debut.
Texas’ GDP reflects its nominal economic output, that is, the raw figure before adjusting for inflation. To get a more accurate picture of the state’s true economic performance, we look at real GDP, which accounts for inflation. With inflation hovering around 7% in 2022, the real value of Texas’s output would be slightly lower, but still immense. Even after adjusting, Texas stands as a dominant economic force, generating roughly 10% of the entire U.S. GDP, a level few states can match.
Supporting this momentum are recent legislative moves to further cement Texas as a business haven. Abbott signed Senate Bill 29 and Senate Bill 1058, which strengthen corporate protections and offer tax exemptions to stock exchanges operating in Texas. A constitutional ban on transaction and occupation taxes related to exchanges further sweetens the deal. These policies reflect a larger trend: lower regulation, more business freedom, and a sharp contrast to the climate of corporate oversight in states like New York or California. As James H. Lee, TXSE’s CEO, put it, “Texas will now be the number one choice for corporate registrations and relocations.”
TXSE’s strategic positioning also capitalizes on brand power. With plans to be a national exchange with global ambitions, executives like Rob Salman are leveraging the “Texas brand” as a symbol of independence, growth, and innovation. Salman, originally from Texas but with experience on Wall Street, emphasizes the unique business-friendly environment and growing appetite for liquidity and innovation among modern issuers.
As Nasdaq opens a Dallas office and the NYSE relocates Chicago operations to Texas (rebranding as NYSE Texas), the battle for market dominance is clearly shifting south. TXSE is still awaiting final regulatory approval and expects to launch in 2026. But even in its pre-launch phase, the exchange is already reshaping the conversation around where, and how, modern finance will evolve. Whether TXSE redefines the global market or simply challenges it remains to be seen. But one thing is clear: the financial center of gravity in the U.S. is beginning to tilt toward Texas.
