Wall Street banks start their own crypto platform

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Last Updated on 6 November 2023 by CryptoTips.eu

Classic Wall Street bankers are always negative when asked about crypto, but now they seem to admit that there is a lot of money floating around in the world of digital currencies. Because of the disappearance of FTX, some classic Wall Street banks are therefore starting their own crypto trading platform. It seems that major crypto companies such as Binance, Bitvavo and Coinbase are getting a real competitor.

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International investment banks like Standard Chartered, Nomura and Charles Schwab are well known on Wall Street. It seems that they are eager to become known on crypto Twitter as well given that the Financial Times reported yesterday that these three are all building their own crypto trading platform nowadays.

After the demise of US crypto companies like FTX, Genesis, Celsius and Voyager last year, many thought that Wall Street would never trust digital currencies again. However, as the disappearance of those companies has meant that many American customers no longer have a service provider, but still want to invest, there was a clear demand in markets.

In other words, many US fund managers want to invest in crypto, but simply don’t trust Coinbase. That is why some banks on Wall Street will soon start their own crypto trading platform. At the moment, trading volumes are still very small compared to larger, well established crypto players like Coinbase and Binance, but Wall Street bankers are confident that they can take at least some market share from those two.

During the daily podcast, financial expert Nikou Asgari said:

If you’ve got all of these big-name companies with big-name guys working inside them now moving over to crypto, a lot of the trust of the asset managers and the traditional, you know, hedge funds and pension funds sits there. They’re comfortable with these names.

So what happens to Coinbase and Binance and other crypto exchanges that have been around and currently dominate the industry? That’s where all of, almost all of the trading takes place on these big crypto platforms. Whether they’ll see their market share get eaten into by these newer players because the asset managers, the people who are trading are more comfortable trading there instead. We’ll see what the future holds

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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