ECN

What is ECN?

ECN meaning Electronic Communications Network, refers to a electronic system for trading in stocks or futures. The critical distinction between an exchange and an ECN is that while both can match and execute trades, only an exchange can list a new security or futures contract. Trades consummated by ECNs are often routed to exchanges for clearing.

 

reference: U.S. COMMODITY FUTURES TRADING COMMISSION – CFTC Glossary