Hassan Maishera
TL;DR
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EDX Markets has launched its services to users in the United States.
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The newly launched cryptocurrency exchange is backed by Fidelity, Citadel, and Schwab, amongst others.
EDX Markets Launches In The United States
EDX Markets (EDX) cryptocurrency exchange has launched its services in the United States.
The company announced this via a press release on Tuesday, indicating that its services are now available to customers in the US.
EDX is backed by some of the leading financial institutions in the world, including Fidelity, Schwab, and Citadel.
While commenting on this latest development, Jamil Nazarali, CEO of EDX, stated that;
“EDX’s ability to attract new investors and partners in the face of sector headwinds demonstrates the strength of our platform and the demand for a safe and compliant cryptocurrency market. We are committed to bringing the best of traditional finance to cryptocurrency markets, with an infrastructure built by market experts to embed key institutional best practices. With the endorsement of our new and growing list of investors and customers, we’re proud to launch trading and look forward to further enhancements to our offering. Looking ahead, EDX Clearing will be a major differentiator for EDX -- and resolve an unmet need in the market – by enhancing competition and creating unparalleled operational efficiency through a single settlement process.”
Citadel, Fidelity, Schwab, Others Back EDX
EDX grabbed attention within the cryptocurrency space in September 2022 when it announced that it received investments from major traditional financial institutions Fidelity, Schwab, Paradigm, Sequoia Capital and Citadel,
Following the launch of its services, EDX received a new round of capital, which includes investments from Miami International Holdings, DV Crypto and GTS.
EDX operates unlike the other cryptocurrency exchanges currently operating in the United States. EDX Markets doesn’t custody customer assets. Rather, users are required to go through financial intermediaries to buy and sell crypto assets, a business model that is similar to how the New York Stock Exchange (NYSE) or the Nasdaq (NASDAQ) operate.
According to Nazarali, EDX Markets adopted that approach because regulators like it. Regulators in the United States believe it is important that there is a separation between the exchange function and the broker-dealer function.
EDX Markets said it is preparing to launch EDX Clearing before the end of the year and will use the platform to settle trades matched on EDX Markets.
At the moment, the crypto exchange offers only four tokens – bitcoin (BTC), ethereum (ETH), litecoin (LITE) and Bitcoin Cash (BCH). Nazarali said the limited number of tokens is due to the unclear regulatory situation in the United States.
The cryptocurrency exchange said it would consider international expansion in the future but is currently focused on providing services to users in the United States.
