Globally, the crypto market continues to garner more adoption from different sectors. Major financial institutions have come to recognise the usefulness of crypto as a financial asset. As a result, they are entering the crypto industry.
According to Reuter’s report on June 7th, three finance companies plan to increase access to crypto. The three firms, Citadel, Fidelity, and Schwab, will open a crypto trading platform to aid the process.
Additionally, the finance giants will partner with another firm, Virtu Inc. These four companies plan to launch a cryptocurrency trading platform.
This new platform will provide an opportunity for retail brokerages to offer crypto services to customers. In addition, other venture capital companies such as Paradigm and Sequoia Capital will take part.
Finance Firms Show More Interest In Crypto
As per a report From Reuters, Schwab has invested passively in a novel crypto asset venture. Mayura Hooper, Schwab’s spokesperson, confirmed the news in an email to the news media.
According to Hooper, the company believes that the interest in digital currencies is rising. However, Bloomberg stated that the project is still in the developmental phase. As a result, it might be ready either before the year runs out or in 2023.
According to Susan Coburn, Fidelity’s spokesperson, “the company supports opportunities that allow it to provide liquidity options for its clients.”
The Finance Giants And Their Crypto-Related Plans
For the giant firms, this new project is part of their progression into the crypto industry. Fidelity, for example, is not new to the crypto space and has made efforts to adopt digital currencies.
Last month, Fidelity caused a major controversy in the Senate and the crypto community. This was after the firm introduced its plan to incorporate Bitcoin into the 401(k) accounts.
Unfortunately, the United States Labour Department objected to the idea. The department stated that digital currencies are very risky financial assets.
According to Finbold, Fidelity company plans to hire more crypto talents. This will allow the firm to increase the workers at Fidelity Digital Assets, its cryptocurrency office.
Presently, the branch has over 200 employees. The company hopes to add 210 new crypto talents to increase it workforce.
Furthermore, Schwab is not thinking of offering direct cryptocurrency trading. The company cited the lack of regulatory clarity in the crypto sector as a reason. However, Hooper noted the company would add cryptocurrency trading when there is regulatory clarity.