FTX is one of the largest cryptocurrency exchange platforms in the world. The firm has decided to make a shift from its digital currency expertise into the world of equities and stock trading.
The digital currency traders who are account holders on FTX will now have the option to invest their funds into listed equity options on the platform.
It is interesting to note that the traders who wish to make stock purchases will be able to do so by acquiring stablecoins on FTX first.
On a related note, FTX founder and CEO Sam Bankman Fried became the majority shareholder of stock and cryptocurrency exchange platform Robinhood. During the filing process, Friedman told the media that he does not plan on participating in the decision-making process for Robinhood at present.
FTX US is owned and operated by West Realm Shires Services. The parent organization announced that FTX Stocks a parallel platform that will investors to make stock purchases will go live soon. FTX Stocks is going to be integrated with the FTX crypto trading application for US consumers.
Meanwhile, the media outlets are postulating that FTX is the first trading platform that allows their retail investors to use stablecoins pegged to USD for stock investment.
Some of the most popular stablecoin projects on FTX are USD Coin or USDC stablecoin. The existing account holders are now capable of sending stablecoin payments to establish stock positions on FTX using wire transfers and credit card deposits.
For the pilot phase, the beta version of FTX Stocks will be listed on all major app stores for US consumers.
It is worth noting that all the stock purchases on FTX are going to be processed through NASDAQ first to ensure financial reconciliation and authenticity.
Meanwhile, the management of FTX has told their clients that with the new addition the investors can now access, trade, and interacts with a wide variety of investment options like stocks, cryptocurrencies, bonds, ETFs, and NFTs among others on a single platform.
US President Brett Harrison recently told the media that demand for all-inclusive retail investment platforms is increasing in the markets. He further explained that FTX plans to ensure a 100 percent transparency quotient per order by funding its infrastructure outside of the payments flow. Friedman recently raised questions about the scalability of the Bitcoin network.