IEX co-founder Ronan Ryan on why bitcoin exchanges will eventually charge for market data

Episode 32 of Season 2 of The Scoop was recorded remotely with The Block’s Frank Chaparro and Ronan Ryan, president of IEX, the Investor’s Exchange.

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The cost of market data is an ongoing debate in the traditional finance world, but in crypto, not so much. But during this week's episode of The Scoop, Ronan Ryan, head of IEX, the Investor's Exchange, said that's going to change.

The method by which Wall Street exchanges make money hand over fist is all but nonexistent in the digital asset space, with none of the major digital asset exchanges charging for market data. This is because trading fees are more than high enough to keep the lights on. 

Still, Ryan told The Scoop that he'd seen this before in the U.S. equities market. Once, equities exchanges rarely charged for data. Now, it's the standard. Ryan saw the change first-hand, since IEX is a U.S.-based exchange dealing primarily in equities. Once a fledgling firm, it now does more volume than the London Stock Exchange.  

"Maybe U.S. equities is kind of like a litmus test and it was just slightly ahead of the grain in terms of what you'll see in your [the digital asset] space," he said. "But I wouldn't be surprised to see exchanges charging for data down the line like exchanges used to not charge for data in U.S. equities."

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