Is it possible to make my own stock and share market?

Question

Here is the thing. My country do not have any kind of stock exchange and or share market. but there are many people who have shares in many companies.

So this idea just came to me that I could make website for people to sell their shares if they dont want to have it anymore.

Is it possible to make online share market without the real stock and share market?

Thanx a lot

Answer 1

Depending on the laws in your country, you could set up an auction site like eBay for people to sell stocks on, or you could set up some kind of site with stores for people to offer stock, like PayPal stores. In the US this is illegal, but if your country is so undeveloped it doesn't have a stock market then there are probably no laws regulating stock transactions.

What you're describing is a platform for people to trade, but you need a lot more than that for the world's financial centers to consider you a stock market. A real stock market makes trading easy by automatically and quickly matching buyers and sellers so they don't have to find each other and negotiate every trade from scratch. Also, when the buyers and sellers aren't evenly matched, the stock exchange, or some associated businesses, must have stock available for sale to excess buyers, or buy it themselves if there are too many sellers. That is called "making a market", and it requires lots of capital. Also your Web site must adjust prices continually depending on supply and demand. This takes a lot more programming than a typical e-commerce site.

Finally, if you do set up a stock exchange you will be targeted by the best hackers in the world--hackers who aren't interested in typical e-commerce fraud and mischief but are going for big money or major notoriety. Programming and security alone would take several million dollars, and you or someone would need millions to make a market in the stocks on your exchange.

If you could pull that off, you would be famous and probably fabulously wealthy after a few years.

Answer 2

It's cute and there are companies that sell individual certificates and you can buy one through your brokerage account and ask for a paper certificate for about a $20 fee on top of the commission to buy the share in the first place. The overhead is enormous, perhaps as much if not more than the value of the shares. Such a gift would certainly not be an investment and would be of little use except as wall decoration to the receiver unless they already had some Gerber shares to begin with. A gift certificate from Bed Bath and Beyond would have more value to the recipient but wouldn't be as cute. If you buy such a gift, you're not really giving anything, you're just being cute which can be good in it's own way. How about a savings bond? you can probably get one at a bank or postoffice.

Answer 3

I think you may not able to do that. This is because there has to be a system to acknowledge the transfer of shares without the consent of the company whose shares are being sold. In your system the buyer and seller need the permssion of the general share holders to make a transaction.

But one thing that can asure you is if this system is possible and you get into the business at the moment you can make a fortune as the system is new to Ethiopia. I will also buy and sell a lot of stock and be number one user of ur site. Good Luck

Answer 4

Yes.