The intensity of competing for a four-letter code is comparable to grabbing domain names. This is the current situation in the USA ETF market.

With the fierce competition in the ETF market, especially for ETFs tracking individual stocks, the demand for attractive stock codes has sharply increased. Since the code must include the stock code being tracked, the number of available code combinations is very limited.

In order to stand out among the dazzling array of products, issuing institutions are racking their brains, even resorting to 'hoarding' in order to grab a more eye-catching stock code.

Some industry insiders suggest expanding the code character limit to provide more room for options. However, this does not seem to be part of Nasdaq's plans.

The stock codes used in the USA market ETFs are being rapidly depleted.

ETF stock codes have become a 'battlefield for all strategists'. A good code can not only enhance the fund's visibility, but also reduce trading costs and increase liquidity. Therefore, the competition among issuing institutions for unique codes is becoming increasingly fierce.

Gavin Filmore, Chief Revenue Officer of the white label company Tidal Financial Group, stated in an interview with Bloomberg that the stock codes used in USA market ETFs are being rapidly depleted.

"Competition has never been so fierce. Similar to 'domain name registration,' we can see market participants constantly grabbing stock codes, especially when certain industries or themes become more crowded."

According to the regulations of USA exchanges, each ETF can only have four characters in its code. Although theoretically there are many possible combinations, about 456,976 in total, in reality, due to various restrictions, the number of available codes is not that high.

For example, when it comes to related etf, since MS has been adopted by MSTR, the number of available codes is reduced to 52, which means inserting one of the 26 English letters before or after MST-.$MicroStrategy (MSTR.US)$For related etfs, due to MS already being used by MSTR, the available options are now only 52, with each option consisting of placing one of the 26 English letters before or after MST-.

Tuttle Capital's CEO Matthew Tuttle is well-known for issuing an opposing ETF to Cathie Wood, the founder of Ark Invest. He mentioned that personally he would "hoard" some stock codes he believes have potential. This is similar to domain name registration, preemptively securing good codes for future ETF launches.

"If a fund engages in both long and short positions, then the fund's stock code should ideally reflect this hedge strategy. For example, 'U' (Up) symbolizes an uptrend and is recognized as a bullish market indicator."

Industry experts suggest expanding the code character limit, Nasdaq remains "non-committal."

Over the past 15 years, four-letter codes have been the standard for ETFs. However, with the significant increase in the number of ETFs, this shortage issue is becoming increasingly apparent. CEO of Granite Shares, Will Rhind, mentioned that as exchanges become stricter with stock code reservations and delisting requirements, ensuring unique stock codes for individual ETFs is becoming more challenging.

Some industry insiders suggest expanding the code character limit to provide more room for options. However, this does not seem to be part of Nasdaq's plans.

Nasdaq's Chief Revenue Officer and Global Head of Listings Jeff Thomas believes that there is currently no shortage of stock codes.

"Occasionally we receive inquiries from some companies, such as, how can I be more creative with these stock codes? Can I add numbers besides letters?"

Regarding the idea of adding numbers to stock codes, Rhind concludes:

"I personally think this is a great addition. All our products in Europe follow this naming structure, so I believe it is indeed helpful and will provide some extra breathing room for those who struggle to find stock codes."

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