Skip to content

Stock Trading Against Stablecoin Embarked by FTX US

FTX US, a cryptocurrency exchange, is now offering shares to its users in the United States. On 19th May, it announced that select consumers would be able to trade equities and ETFs.

Retail investors will be able to fund their portfolios with stablecoin USDC through to the exchange’s new product, FTX Stocks. Users will be able to enter the stock market more readily as a natural outcome of this. Only a small number of members from a waiting list will be allowed to purchase FTX Stocks. However, by mid-summer, the business intends to have the services accessible to all customers.

FTX US President Brett Harrison said, “With FTX Stocks’ introduction, we have built a single integrated platform for retail investors to seamlessly trade NFTs, crypto, and traditional stock offerings via a transparent and intuitive user interface.”

FTX will soon provide further information on the launch. Market experts and investors will monitor how the latest decision affects FTX US, whose crypto exchange market share hit 4.5 percent in November 2021 and trading volume increased 500 percent quarter-over-quarter in Q3 2021.

No-Brokerage Accounts

FTX Stocks will offer no-fee brokerage accounts, commission-free trading, and free market and fundamental business data, continuing its aim to equalize access to financial services. In addition, the Company decided to do away with the minimum necessary customer balances and tiered account structures that are customary among retail stock trading platforms.

The launch of FTX Stocks marks the first time in industry history that retail brokerage accounts can be funded with fiat-backed stablecoins like USDC, as well as the standard USD deposit methods of wire transfers, ACH transfers, and credit card deposits, all because of a partnership with the FTX US crypto exchange.

“Customers want a new retail investment experience that provides complete order routing transparency and does not rely on payment for order flow. We are delighted to offer customers even more options for order execution as our product portfolio and capabilities expand and the tools they need to make smart routing decisions,” Harrison continued.

FTX Capital Markets, a FINRA member broker-dealer, provides securities trading services. FTX Stocks has associated with Embed Clearing LCC, a new FINRA, DTC, NSCC, and Nasdaq member clearing firm. It offers white label brokerage services to registered investment advisor businesses and broker-dealers. Embed will execute, clear, route, and custody of all FTX Stocks customer trades and accounts.

More About FTX US

FTX US is a US-regulated cryptocurrency exchange that aims to build the digital currency ecosystem. It provides a platform that inspires loyalty among US and international traders and has established itself as the market-leading US-regulated cryptocurrency exchange.

FTX Capital Markets LLC, an affiliated broker-dealer registered with the Securities and Exchange Commission (SEC) and a member of FINRA/SIPC, provides brokerage services to FTX US. Embed Clearing LLC, an independent registered broker-dealer and FINRA/SIPC member provides custody, execution, and clearing services for securities.