According to Zhitong Finance.com, the US Securities and Exchange Commission (SEC) rejected the New York Stock Exchange's proposal for a direct public offering (DPO) on Friday. Earlier, the NYSE submitted documents to the American Securities and Exchange Commission, recommending amendments to the listing requirements to allow direct listing of companies to issue new shares to raise funds at the same time, so that the cost of raising funds is lower than an initial public offering (IPO). The NASDAQ exchange also said it would submit a similar proposal to the SEC as soon as possible. After being rejected, the New York Stock Exchange stated: "We are still committed to developing direct public offerings, and this type of listing is not uncommon, and we will continue to negotiate with the US Securities and Exchange Commission on this matter." Spotify (SPOT.US) in 2019 In IPO through direct listing in 1991, Slack (WORK.US) followed closely behind. Banks are working with many other companies, including Airbnb, who want to use direct public offerings instead of traditional listing methods. With a direct listing, the company does not need to raise new funds, but instead allows existing shareholders to sell shares directly to the open market. This has proven to be an increasingly popular option for companies that don't need cash.