FTX.US, a separate cryptocurrency exchange operated by FTX, is rolling out support for stocks trading as part of its newly-formed platform called FTX Stocks. The company said in a press release that the platform will first debut in a private beta phase for select US customers only.
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The Chicago-based exchange said that it will initially route all orders through Nasdaq, and will not charge any fees or get any payment for order flow. Moreover, retail brokerage accounts can be funded with stablecoins like USD coin (USDC), in addition to the standard USD deposit methods of wire transfers, ACH transfers, and credit card deposits. FTX US President Brett Harrison said:
"There is clear market demand for a new retail investment experience that offers full order routing transparency to customers and does not rely on payment for order flow."
Securities trading is handled by FTX Capital Markets, a FINRA member broker-dealer, while route, execute, clear and custody solutions are operated with Embed Clearing, a Nasdaq member clearing firm.
The move comes after FTX Founder Sam Bankman-Fried bought a 7.6% stake in Robinhood. Emergent Fidelity Technologies — the firm where Bankman-Fried is the sole director — took a stake worth $648 million. The company wrote in the filing with the US Securities and Exchange Commission that Robinhood's shares "represent an attractive investment."
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