JUDITH BANNERMANQUIST 5 HOURS AGO Wall Street giants back EDX Markets, a new cryptocurrency exchange EDX Markets is backed by large financial institutions such as Citadel Securities, Fidelity Investments and Charles Schwab. 7737Total views 21Total shares Listen to article 2:32 NEWS EDX Markets, a newcomer to the cryptocurrency exchange landscape, has made a notable entry with backing from prominent financial institutions such as Citadel Securities, Fidelity Investments and Charles Schwab. The company recently unveiled the launch of its digital asset market on June 20, marking its official entry into the industry. According to the announcement, the exchange hopes to attract “industry leaders” by incorporating best practices from traditional finance and offering unique advantages, including liquidity, competitive quotes and a noncustodial model designed to minimize conflicts of interest. Currently, EDX supports the trading of only four cryptocurrencies, namely Bitcoin . In the coming months, EDX plans to introduce EDX Clearing, a clearinghouse aimed at settling trades executed on the EDX Markets platform. This system will enable trades to be conducted with a central counterparty, offering participants notable advantages such as improved price competition, minimized settlement risks and improved operational efficiencies. As part of its growth strategy, EDX recently concluded a funding round attracting strategic investors such as Miami International Holdings, DV Crypto, Global Trading Strategies, GSR Markets and Hudson River Trading. These investors join the existing coalition of founding investors, including Charles Schwab, Citadel Securities, Fidelity Digital AssetsSM, Paradigm, Sequoia Capital and Virtu Financial. According to the company, the additional funding will be utilized to further develop EDX’s trading platform and solidify its position in the market. Related: Deutsche Bank reportedly applies for digital asset custody license from BaFin The launch of the EDX Markets, which comes amid a regulatory crackdown by the Securities and Exchange Commission, suggests investors remain resolute in their interest in cryptocurrencies. In a similar vein, investment management firm BlackRock has taken a significant step toward embracing the world of cryptocurrencies. On June 15, the company submitted an application for the very first Bitcoin spot exchange-traded fund (ETF) in the United States. If granted regulatory approval, this ETF would provide investors with a regulated and convenient avenue to gain exposure to Bitcoin.
https://www.coindesk.com/business/2...cked-by-fidelity-schwab-and-citadel-launches/ Crypto Exchange Backed by Fidelity, Schwab and Citadel Launches With Additional Investors EDX Markets has a different business model than other crypto exchanges, which regulators like, its CEO Jamil Nazarali told CoinDesk in an interview in April. By Helene Braun Jun 20, 2023 at 1:42 p.m. PDT Updated Jun 20, 2023 at 1:57 p.m. PDT EDX Markets (EDX), which is backed by Fidelity Digital Assets, Charles Schwab and Citadel Securities, has launched in the U.S. after building out its technology for the past nine months, the company announced Tuesday. “I am proud to announce that EDX Markets (EDX) has successfully launched our digital asset market and completed an investment round with new equity partners,” EDX Markets CEO Jamil Nazarali wrote on LinkedIn. “EDX’s official launch allows our outstanding team to bring to crypto the same values and standards of competition, transparency, fairness and safety that investors in traditional assets expect and enjoy.” The new crypto exchange made headlines after it announced its creation in September with investments from major tradfi firms Fidelity, Schwab, Paradigm, Sequoia Capital and Citadel, the latter being a former employer of Nazarali. Read more: Deutsche Bank Applies for Digital Asset License in Germany as TradFi Pushes Further Into Crypto With the launch of its digital asset market comes a new round of capital which includes investments from Miami International Holdings, DV Crypto and GTS among others, the company said. The launch follows the news just last week that asset management giant BlackRock had filed paperwork with the SEC to create a spot bitcoin ETF. One thing that separates EDX Markets from other crypto exchanges is that it doesn’t custody customers’ digital assets. Instead, users will have to go through financial intermediaries to buy and sell crypto assets, similar to how trades are executed on the New York Stock Exchange (NYSE) or the Nasdaq (NASDAQ). Regulators like the different approach, Nazarali said, because they think it’s important that there’s separation between the exchange function and the broker dealer function. “What we’re seeing is that increasingly, investors want to trade through their trusted intermediaries and that’s especially true post FTX, which was supposed to be the leader in the digital market. If you can’t trust them, who can you trust?” Nazarali told CoinDesk in an interview in April. “So people are falling back on the firms that have been around for a really long time and that have really stood the test of time and that’s a really important tailwind for us.” The company will later this year launch EDX Clearing to settle trades matched on EDX Markets. So far, the exchange only offers four tokens – bitcoin (BTC), ethereum (ETH), litecoin (LITE) and Bitcoin Cash (BCH) – partly because of the unclear regulatory landscape in the U.S. “We have a limited set of tokens because until there is more regulatory clarity, we don’t want to trade something that’s potentially a security,” Nazarali said in April. “Regulators really like that we don’t take that risk.” While EDX Markets will consider an international expansion “down the line,” for right now, it will solely focus on its operations in the U.S., Nazarali said in April. “We were founded really to solve a problem in the marketplace in the U.S."
" we have gone through this in 1920 ...at base level these are all securities,, it does not matter if add few digits to it and Tech mumbo jumbo" LOL.. that does it for me
First of all, they are not approved - this is really about a funding round. Figure that once you have a regulatory framework for new exchanges the pipeline will be - IMHO - somewhere between a year and 18 months. Everyone will clone the filing of the first up. Most of these filings will escrow, any raise until approval. Keep in mind, existing securities exchanges would be able to list quickly. Reading the article you'll see them quoted about entry into the US market.
Although I agree that there is a weird contrast specially in case of Coinbase SEC allowed them to be listed as a public company ! but overall I don;t think SEC is at fault these people just want to avoid the regulatory burden (B IMHO)
SEC has recognized listing requirements. Currently no regulatory framework for Bitcoin. Two really different regulatory issues. Plus, when they listed it was an entirely different environment. If the SEC gets what they appear to looking for, they could ask them to conform or delist.