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In a time of heightened scrutiny of the cryptocurrency sector, a new player has entered the market with the potential to reshape the digital asset landscape. EDX Markets, a recently launched crypto exchange, boasts backing from prominent Wall Street giants, including Citadel Securities, Charles Schwab, and Fidelity Digital Assets.
This institutional-only exchange aims to provide a range of offerings while revolutionizing how trading is conducted in the crypto space. In today’s TD Daily, we will delve into the objectives of EDX Markets, its plans, and how it has played a significant role in the recent surge in the crypto market.
EDX Markets: A Paradigm Shift in Crypto Trading
Unlike traditional crypto platforms such as Coinbase and Binance, EDX Markets distinguishes itself by adopting a “non-custodial” model. The exchange does not hold clients’ digital assets during trading but collaborates with a trusted third-party custodian. This approach enhances security and builds trust among institutional investors seeking a reliable trading environment.
Besides the Wall Street Investors’ fleet, EDX has successfully closed a funding round with strategic investors, including Miami International Holdings, DV Crypto, Global Trading Strategies, Hudson River Trading, and GSR Markets. The company states that the raised funds would be utilised to fuel future developments of its trading platform and establish a strong position in the market.
Trading Offerings and Future Plans
Currently, EDX Markets facilitates trading in four major cryptocurrencies: Bitcoin, Ethereum, Litecoin, and Bitcoin Cash. However, the exchange has ambitious expansion plans soon. EDX intends to launch EDX Clearing ~ a clearing house, later this year to settle trades. This move will further streamline the trading process and promote efficient transactions within the platform. Moreover, the exchange aims to collaborate with additional participants, fostering liquidity and continually enhancing efficiency.
Role in Uplifting the Crypto Market
The entry of EDX Markets into the crypto market has been instrumental in driving the recent surge in digital asset prices. With the backing of Wall Street giants, the exchange brings legitimacy and institutional confidence to the cryptocurrency space. This increased credibility attracts institutional investors who were previously hesitant to enter the market, leading to an influx of capital and subsequent market growth.
On a fundamental level, the exchange development might have played a vital role in the recent surge in the crypto markets. Following the exchange’s launch announcement, Bitcoin was up by 14.21% on a weekly basis, currently hovering above the six-week high range ($30K – $31K).
Conclusion
By offering a non-custodial model, expanding trading offerings, and focusing on compliance and security, EDX Markets has positioned itself as a key player in the digital asset landscape.
The exchange’s debut, which coincides with a regulatory crackdown by the Securities and Exchange Commission, indicates that investors’ interest in cryptocurrencies is still confident despite the prolonged bear run. As the traditional finance sector continues integrating cryptocurrencies into its operations, EDX Markets aims to stand at the forefront of this transformative shift and bring the next wave of institutional adoption to the crypto space.
