FTX.US has listed hundreds of stocks on its platform as it expands its offerings away from virtual currencies to mainstream assets.
The American arm of the exchange, has expanded its horizons into stocks. The crypto exchange announced that customers can now trade leading stocks like Tesla (TSLA), Apple (AAPL), and Microsoft (MSFT), among others.
Brett Harrison, President of FTX.US, announced the news on Twitter, saying the feature was now live for U.S. users. He noted that residents of all 50 U.S. states can access the new service, including New York – a jurisdiction in which FTX.US does not provide cryptocurrency services.
“Trade hundreds of stocks and ETFs from both the web and the FTX.US Pro mobile app,” read Harrison’s tweet.
The plan to launch a stock trading option did not come out of the blue, as it has been in the works for a few months. In May, the exchange started a pilot program, allowing only selected individuals to participate without revealing the date for a full-scale launch.
Not a money-making scheme
Sources indicate that FTX Stocks will operate a zero-commission business model, with no commission being charged on trades and customers being allowed no-fee brokerage accounts.
“To start, this isn’t going to be a profitable endeavor for us,” said Harrison. “Our goal is to be able to add this additional service for our customers to help bolster our existing business.”
Harrison clarified on Twitter that the shares listed on the platform are actual shares and not synthetics, while customers will be allowed the options for fractional shares. He added that brokerage accounts are SIPC-insured, while cash is “managed into FDIC-insured accounts at our partner bank.”
In the coming days, the team says Stocks will be open to the users of the general app.
FTX has deep pockets
Both FTX and its affiliate have been in the spotlight for their activities in the crypto winter. FTX has gone on a spree of rescuing troubled companies in the space, while FTX.US says it is on the “lookout for acquisitions.”
At Davos 2022, FTX.US disclosed that they are on course to create the first-ever, real-time 24-hours margin for futures, unlike other clearing houses where margins are done only once a day.
BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.