FTX US Starts Stock Trading For Select Users The US division of cryptocurrency exchange FTX has launched a stock trading service that is only available to a select number of users. The new service is available through FTX Capital markets, which is a member broker-dealer of FINRA.
Stock trading: Push for it
The official announcement states that the platform will expand its functionality to all US users in the coming months. FTX Stocks allows users to trade and invest hundreds of US-exchange-listed securities such as common stocks or exchange-traded fonds (ETFs). At first, the new platform will route all orders via Nasdaq in a bid to provide “transparent trade execution and fair pricing.” Stock trading will be commission-free, and FTX Stocks will not receive any payment for order flow. You will also be able to trade fractional shares in a limited number of securities. FTX US will accept payment for stock purchases in “fiat-backed stablecoins” such as USDC. FTX’s latest expansion highlights the company’s ambition to not only attract the crypto crowd but also to capture investors in traditional finance, even if it means entering a more strictly regulated space. Brett Harrison, FTX US President, explained that the company’s main goal is to provide every investment service possible for its customers. “Our goal is to offer a holistic investing service for our customers across all asset classes. With the launch of FTX Stocks, we have created a single integrated platform for retail investors to easily trade crypto, NFTs, and traditional stock offerings through a transparent and intuitive user interface.”
Its equities venture comes just days after it was revealed by FTX CEO Sam Bankman Fried that he had purchased a 7.6% stake at Robinhood. While clarifying that he has no intentions to influence the latter’s management or strategy, the exec said he is viewing the stake as an investment. FTX US requested the Commodities Futures Trading Commission to amend its non-intermediated model of cryptocurrency derivatives. This would allow the platform to bypass the financial institutions that currently permit such trades. The application is currently being reviewed by the authorities.