Since its introduction in the late 1960s, online stock trading has been increasing every year and strengthening the stock market in many countries around the world. Prior to online trading, stocks were manually traded by brokers over the phone to investors and fellow traders. With online stock trading, the access to stocks expanded to many more people as computers became more and more popular in the average American home. With the invention of smart phones, stock trading became something that was able to be done in a matter of seconds. From the United States, to Europe, all the way to Asia, the online stock trade has led to the boosting of economies all over the world. Investing for the average person had become easier and easier since its debut in 1969, with new technology debuting every year. Online trading has positively affected the economy of America and other countries worldwide by increasing access to stocks, expanding the stock market, and more efficiently moving stocks.
Since its debut in 1969, online stock trading has had various different technologies that allowed more access to the general public. With faster technology being used, the profitability of old trade became destroyed. Faster hardware and more advanced algorithms led to the stock market being forced to turn into a big scale business (CNBC). Stocks were able to be traded at faster paces than before and computers were more efficient than humans, being free of human error. The new technology allowed for stocks to be pushed to far more investors in far less time, causing there to be a higher demand for stocks in the general population. .
Following the switch to online trading, stocks were then changed from the dollar standard to the penny standard. This allowed for more companies to use stocks, as well as companies to break stocks into smaller amounts. Stocks became more affordable, and as a result, were being sold in higher orders.