EDX Markets, Backed by Major Financial Firms, Set to Launch Cryptocurrency Exchange
EDX Markets, a cryptocurrency exchange supported by major financial players such as Citadel Securities, Fidelity Investments, and Charles Schwab, is expected to go live later today. The platform will initially offer trading in four cryptocurrencies: bitcoin, ether, litecoin, and bitcoin cash.
Targeting Brokers and Investors in Digital Assets
The exchange was first revealed in September, with a focus on catering to brokers and investors interested in digital assets. According to the Wall Street Journal, EDX will announce its official launch today, nine months after unveiling its plans.
A Non-Custodial Exchange with Traditional Finance Standards
EDX distinguishes itself from traditional cryptocurrency exchanges by operating as a “non-custodial” exchange. This means it won’t directly handle customers’ digital assets. Instead, the platform will draw on traditional finance standards and rely on third-party banks and a crypto custodian for holding customer assets.
Clearinghouse Launch and Additional Funding
EDX plans to launch a clearinghouse later this year to facilitate trade settlement and reinforce its non-custodial approach. This aims to alleviate concerns over security and potential misuse of customer funds while avoiding conflicts of interest.
In addition to support from Citadel Securities, Fidelity Investments, and Charles Schwab, EDX has backing from Paradigm, Sequoia Capital, and Virtu Financial. The exchange will also announce the closure of a second funding round, with new investors including Miami International Holdings and affiliates of proprietary trading firms DV Trading, GTS, GSR, and Hudson River Trading, as reported by the Wall Street Journal.