Nasdaq to acquire LeveL Markets, adding 2,500-client ATS network

Nasdaq agreed to acquire LeveL Markets, the third-largest US alternative trading system by volume, expanding its reach into off-exchange equity execution as traditional and digital markets converge. The deal advances Nasdaq's always-on markets strategy, connecting liquidity across increasingly continuous global markets.

"Markets are evolving rapidly, creating new opportunities for investors, issuers, and market participants worldwide," Tal Cohen, president of Nasdaq, said. "LeveL Markets brings together the scale, connectivity, and institutional relationships that can help accelerate our long-term growth strategy."

LeveL Markets processes hundreds of millions of shares daily across more than 7,000 symbols and reaches more than 2,500 buy-side and sell-side clients. Average daily volume grew 56 percent year over year in 2025. Nasdaq first took a minority stake in the platform in 2021; LeveL Markets merged with Luminex in 2022, expanding its reach to more than 300 institutional buy-side firms through more than 15 order and execution management system integrations.

The transaction, terms not disclosed, is expected to close after customary conditions including regulatory approvals. LeveL Markets will continue operating as a registered ATS under FINRA oversight within Nasdaq's newly formed Digital Liquidity Networks unit, led by Roland Chai.

Digital Liquidity Networks takes shape

The DLN organization brings together Nasdaq's digital assets investments, tokenization capabilities, and financial technology solutions serving the digital assets ecosystem. Chai, who has led Nasdaq's European Market Services since 2023 and its digital assets strategy since early 2026, said the unit's mission is to build programmable, always-on market infrastructure.

"The mission of Digital Liquidity Networks is to build the programmable, always-on market infrastructure of the future — enabling Nasdaq to transform capital market infrastructure with institutional trust, resilience and integrity," Chai said.

Nikolaj Kosakewitsch succeeds Chai as head of European Market Services, effective immediately. A successor to Kosakewitsch as president of Nasdaq Copenhagen will be announced later.

Steve Miele, CEO of LeveL Markets, said the acquisition gives the platform "an even greater ability to invest in our solutions, expand opportunities for clients across asset classes and around the globe."

The deal extends Nasdaq's push beyond its traditional exchange business into alternative trading venues. The company's minority investment in LeveL Markets in 2021 was part of a broader strategy to establish a presence in off-exchange equities. With LeveL Markets now fully owned, Nasdaq gains a scaled execution platform that complements its existing market infrastructure services.

The acquisition also strengthens Nasdaq's competitive position in the US ATS market, where institutional investors increasingly route block trades and algorithmic orders away from public exchanges to reduce market impact. LeveL Markets' continuous crossing platform, VWAP trajectory order types, and low-latency trading solutions give Nasdaq a foothold in a segment that has grown as market structure evolves. The platform's LeveL Connect gateway extends trading opportunities in Europe and Canada.

The deal comes as Nasdaq faces intensifying competition from rival exchange operators and fintech firms building alternative liquidity venues. The convergence of traditional and digital market infrastructure has pushed exchanges to broaden their offerings beyond listed equities, with tokenization and digital assets becoming increasingly central to market infrastructure strategy. Nasdaq's formation of DLN, which brings together its digital assets and market modernization investments, reflects this broader industry shift.

For LeveL Markets, the acquisition provides access to Nasdaq's technology, data, and global distribution network. The platform will retain its dedicated management team and structural separateness, preserving the participant confidentiality and operational integrity that are fundamental to its role in the institutional equity market.

This article is for informational purposes only and does not constitute investment advice.