Illustration: Lazaro Gamio/Axios

The New York Stock Exchange yesterday laid the formal groundwork for letting companies raise capital as part of direct listings.

Why it matters: This could upend the traditional IPO market, which has relied on Wall Street banks to set pricing terms.

Background: We first discussed the possibility of hybrid listings back in June, in preparation of Slack's direct listing (through which the company itself raised no money). Three months later we broke news on how a group of Silicon Valley investors and attorneys were hosting an invite-only meeting to gain further support for hybrid listings, arguing that the normal IPO process too often benefits bank clients at the expense of issuers.

What's new: NYSE's proposal would let both the company and company insiders sell stock at listing, so long as the company sells at least $250 million worth of shares. There are no new lockup requirements.

  • An exchange spokesperson writes: "This represents the next step in the development of the Direct Listing, which the NYSE pioneered with Spotify in 2018 and Slack earlier this year."

What's next: The filing kicks off a public comment period, after which NYSE's plan will be approved or rejected. The Nasdaq also has said that it's working with the SEC on a direct listing plan.

Go deeper: Creating the perfect IPO

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Updated 36 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Aïda Amer/Axios

  1. Global: Total confirmed cases as of 10 a.m. ET: 21,243,513 — Total deaths: 766,488— Total recoveries: 13,272,162Map.
  2. U.S.: Total confirmed cases as of 10 a.m ET: 5,314,814 — Total deaths: 168,462 — Total recoveries: 1,796,326 — Total tests: 65,676,624Map.
  3. Health: The coronavirus-connected heart ailment that could lead to sudden death in athletes.
  4. States: New York to reopen gyms, bowling alleys, museums.
  5. Business: How small businesses got stiffed — Unemployment starts moving in the right direction.
  6. Politics: Biden signals fall strategy with new ads.

Kamala Harris and the political rise of America's Indian community

Vice presidential hopeful Sen. Kamala Harris (D-Calif.) Photo: Drew Angerer/Getty Images

When Democrats next week formally nominate the daughter of an Indian immigrant to be vice president, it'll be perhaps the biggest leap yet in the Indian American community's rapid ascent into a powerful political force.

Why it matters: Indian Americans are one of the fastest-growing, wealthiest and most educated demographic groups in the U.S. Politicians work harder every year to woo them. And in Kamala Harris, they'll be represented in a major-party presidential campaign for the first time.

3 hours ago - Health

The cardiac threat coronavirus poses to athletes

Illustration: Annelise Capossela/Axios

Cardiologists are increasingly concerned that coronavirus infections could cause heart complications that lead to sudden cardiac death in athletes.

Why it matters: Even if just a tiny percentage of COVID-19 cases lead to major cardiac conditions, the sheer scope of the pandemic raises the risk for those who regularly conduct the toughest physical activity — including amateurs who might be less aware of the danger.