February 21, 2024

EDX Markets, a cryptocurrency exchange endorsed by Wall Street heavyweights such as Fidelity and Citadel, started operations this week. The platform will offer trading in BTC, LTC, ETH and BCH.

EDX Markets started operations on Tuesday after closing an investment round, with new equity partners joining its founding investors Citadel Securities, Fidelity Digital Assets, Sequoia Capital and Charles Schwab.

EDX will allow trading of BTC, ETH, LTC and BCH

in a Press release, EDX explained that it offers a “non-custodial” model, meaning it does not hold customers’ digital assets. CEO Jamil Nazarali said the platform works with third-party custodians.

The exchange also said it successfully conducted an investment round, adding investors including Miami International Holdings, DV Crypto, GTS, GSR Markets LTD and HRT Technology.

Nazarali said:

EDX’s ability to attract new investors and partners in the face of industry headwinds is a testament to the strength of our platform and the need for a safe and compliant cryptocurrency marketplace.

EDX further stated that it aims to bring elements of traditional finance to cryptocurrencies, focusing on compliance and reducing conflicts of interest.

We are committed to bringing the best of traditional finance to the cryptocurrency market, embedding key institutional best practices through an infrastructure built by market experts.

Unlike other cryptocurrency exchanges, EDX will only allow investors to trade four top cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Bitcoin Cash (BCH).

EDX will soon launch a clearing house, the platform’s CEO said.

With approval from our new and growing list of investors and clients, we are proud to launch the transaction and look forward to further enhancing our offering. Going forward, EDX Clearing will be a key differentiator for EDX – and address an unmet need in the market – by enhancing competition and creating unparalleled operational efficiencies through a single clearing process.

Traditional Financial Institutions Are Bullish on Bitcoin

At a time of intense regulatory scrutiny on the crypto industry, some traditional financial institutions are laying the groundwork for participation in the market. BlackRock, the world’s largest asset management company, announced last week that it will apply for a bitcoin spot ETF (exchange-traded fund). If approved, the ETF would be the first cryptocurrency spot ETF in the United States.

There are also rumors that Fidelity Investments filed with the SEC to develop a Bitcoin ETF similar to BlackRock.

Disclaimer: This article is for informational purposes only. It does not provide or be intended to be used as legal, tax, investment, financial or other advice.