- Leading cryptocurrency exchange FTX is now looking to expand its business operations by offering services in the equity markets.
- FTX Stock is believed to start with the private beta phase for select US customers who would have to go through the waitlist.
- The news seems to have helped FTX Token’s native token FTT was up by 0.33% and was trading at US$30.53 with a trading volume of US$8,59,64,176 over a day, according to CoinMarketCap.
Leading cryptocurrency exchange FTX is now looking to expand its business operations by offering services in the equity markets. FTX, in the major announcement on 19 May, FTX said that it would be offering services with its US-based subsidiary FTX US.
FTX Stock is believed to start with the private beta phase for select US customers who would have to go through the waitlist. Offering its services through its FTX US trading app, the crypto exchange is expected to provide orders through Nasdaq.
Offering services using fiat-backed stablecoins
The FTX’s stock trading platform will open doors to multiple trading and investing options in US shares, including the ETFs. Another key feature of the FTX stocks will be that it will allow retail investors to invest in fiat-backed stablecoins, like USDC, Tether, etc.
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With this, it will become the first crypto platform offering services stablecoins, and through its crypto exchange, it will provide the option to its users to various deposit methods like credit cards, wire transfers, etc. Other crypto exchanges, such as Coinbase and Binance, currently do not offer stock trading options.
FTX US president Brett Harrison said that this will open options for retail investors to trade in cryptos and stocks side by side with an intuitive user interface.
FTX’s timing is critical as FTX founder and CEO Sam Bankman-Fried said that Bitcoin’s transaction speed is not scalable enough to process millions of transactions.
Recently, Bankman-Fried has bought a 7.6% stake in crypto-friendly stock trading app Robinhood Markets Inc.
FTT crypto’s prices
There seems to be an increased interest in the FTX Token as well. The news seems to have helped FTX Token’s native token FTT as it was up by 0.33% and was trading at US$30.53 with a trading volume of US$8,59,64,176 over a day, according to CoinMarketCap.
The FTT token was enjoying a live market cap of US$4,16,07,80,733 with 13,63,04,476 FTT coins in circulation. The news seems to have added to the interest of investors as the token saw a volume gain of over 38% on Friday.
With this, FTX US also joins the likes of Cash App, SoFi, and Public in offering to trade in both stocks and crypto. The expansion to the equity markets signals FTX’s strong intent to expand its business base. This may see increased retail investor participation on the platform. Whether that will happen or not remains to be seen, but it is clear that FTX’s decision may see a revived interest in the fiat-backed stablecoins.
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