DALLAS, TEXAS – 15/07/2025 – (SeaPRwire) – In a move that’s sending waves through both the financial and crypto trading communities, LitXchange — a disruptive new brokerage startup — has initiated a Regulation Crowdfunding (Reg CF) campaign prior to officially launching its trading platform or going public. The effort, already live on the FINRA-regulated crowdfunding portal Silicon Prairie, is being touted as the first of its kind — a pre-launch, pre-IPO brokerage Reg CF campaign aimed squarely at the retail investor community. The company has already raised nearly $1 million, and the offering has been formally filed with the U.S. Securities and Exchange Commission (SEC) via EDGAR under CIK: 2017445.
This initiative stands apart not just because of its timing, but because of its mission. LitXchange is built from the ground up by retail investors for retail investors — a rare instance in a financial industry traditionally dominated by institutional players and entrenched practices. The Reg CF campaign invites the broader public to become early backers of what the startup describes as a fair, visible, and retail-first trading platform designed to counter longstanding concerns around order execution transparency and market manipulation.
Pioneering a New Era of Transparency in Brokerage
One of LitXchange’s most radical promises is to introduce real-time, verified disclosure of customer share holdings in some of the market’s most heavily shorted and scrutinized equities — such as AMC, GME, TSLA, and SLV. This commitment marks a stark departure from the industry status quo, where ownership data is often obscured by custodians, clearinghouses, and brokerages that are neither required nor incentivized to fully disclose such information.
The company’s stated goal is to equip retail traders with better visibility into actual ownership — a critical gap in the current infrastructure that has historically fueled suspicions of synthetic shares and stock price manipulation. By placing data into the hands of everyday investors, LitXchange aims to strengthen market confidence and expose manipulation that has traditionally gone unchecked.
A Public Rebuke of Payment for Order Flow and Dark Pools
LitXchange CEO and co-founder Marcel Kalinovic has emerged as an outspoken critic of common brokerage practices, particularly Payment for Order Flow (PFOF) and dark pool trading — two mechanisms he believes have fundamentally undermined retail investors’ ability to trade on a level playing field.
In a widely circulated post on X.com (@BossBlunts1), Kalinovic offered a scathing critique of these practices, equating them to legalized front-running and hidden manipulation:
“Dark pools are where your trades go to disappear.
Payment for Order Flow = brokers selling your orders to market makers for $$$
Dark pools + PFOF = perfect system to:
- Front-run retail trades
- Suppress buying pressure
- Prevent price movement
- Manipulate supply
- Issue synthetic shares
- Fail to Deliver
- Eliminate transparency
Your ‘free’ trades? Not free.
It’s not trading, it’s controlled demolition.”
His comments encapsulate the core of LitXchange’s mission: to dismantle the opaque and increasingly distrusted mechanics of modern brokerage and build in their place a transparent, integrity-driven alternative.
LitXchange’s Lit-Only Model: No Dark Pools, No PFOF
True to its name, LitXchange pledges to route all trades through fully lit exchanges — avoiding internalization practices and shadowy trading venues. The company positions itself as the antithesis of incumbent brokerages that continue to profit from routing trades to market makers in exchange for order flow payments, often at the cost of execution quality.
The platform’s architecture is being designed to prioritize price transparency, speed, and fairness. While the platform has not yet launched, early communications from the company suggest it will embrace open reporting, decentralized validation mechanisms, and possibly even community governance features that allow investors to help shape future policy decisions.
Public Poll Signals Broad Opposition to Dark Pools
As part of its awareness campaign, LitXchange has launched a public poll asking retail traders whether the SEC should suspend dark pool trading altogether. So far, an overwhelming 80%+ of participants have responded “Yes, it’s legalized crime.” The firm plans to submit the results, along with written commentary from individual investors, directly to the SEC as a formal statement of community sentiment against current industry norms.
This approach illustrates how LitXchange intends to function not just as a trading venue, but as an advocacy platform for market reform — positioning itself as a voice for the retail investing public.
About LitXchange
Founded by a group of passionate retail traders who sought to reimagine brokerage from the ground up, LitXchange is a next-generation platform for trading stocks and crypto assets. With a laser focus on execution transparency, ownership visibility, and user empowerment, the company is positioning itself as a catalyst for change in a space long dominated by institutional interests and complex intermediaries. Currently fundraising through its Reg CF campaign, LitXchange invites retail investors to own a piece of the platform they helped inspire.
source https://newsroom.seaprwire.com/technologies/litxchange-launches-groundbreaking-reg-cf-campaign-ahead-of-platform-debut/