FTX launches BTC/stock trading pairs

[gentlemand]

https://finance.yahoo.com/news/ftx-launches-bitcoin-pairs-top-093007591.html

I've always found it very strange why so few people have tried to pair crypto trading with stock trading. Looks like the stocks here, and there are only a few of the most obvious ones, are tokenised and you can also trade fractions of them too.

No idea who this lot are but they've partnered with established names to facilitate this. Americans aren't welcome of course.

[1715206780]

1715206780

[mk4]

I've always found it very strange why so few people have tried to pair crypto trading with stock trading.

I'm guessing it's because of the liquidity problem. Yes, there might be demand, but it will most likely be really really small as bitcoiners(understandably so) likes to hodl their coins.

Cool implementation though, I'd give them that, and it's a feature that I'd personally use if my broker has it available.

[exstasie]

No idea who this lot are but they've partnered with established names to facilitate this.

They've been around for about 1.5 years. They were the first ones on the market to offer leveraged BTC, ETH, etc. tokens. Binance had their tokens listed for a while, until they ended up copying FTX's idea and listing their own instead.

I've always found it very strange why so few people have tried to pair crypto trading with stock trading.

There's always been strong demand for stock CFDs among crypto traders on the unregulated market. I've known dozens of people who used 1Broker or SimpleFX for stock trading, and I always had great experiences with liquidity on 1Broker during the couple years I was trading there.

I think services naturally pursued CFDs instead of crypto pairs because they mimic the real underlying markets, dollar for dollar. That's what traders want because they are charting and trading based off the real market pairs. Dealing with things like BTCUSD fluctuations on top of that is really horrible for manual traders. They'd be eaten alive by arbitrage bots.

I'm really not sure how much traction we can expect this to gain, but I'm curious.

[Willitivity]

FTX isn't the first crypto exchange to add stocks to their collection but it's a good move since its a trusted exchange and they have good amount of volume, demand and liquidity to make it work compared to much smaller exchanges. I'm not a big fan of trading stocks so it doesn't mean much to me. It also let's anyone who've always wanted to trade stocks and crypto from the from exchanges should be happy about the news.

[gentlemand]

Yes there have other options in the past but they all looked so wretched no sensible person would touch them.

I assume at some point an established broker will offer btc as a deposit and withdraw option, if not an actual trading pair.

Enough gold dealers do it.

[mk4]

FTX isn't the first crypto exchange to add stocks to their collection but it's a good move since its a trusted exchange and they have good amount of volume, demand and liquidity to make it work compared to much smaller exchanges.

Yeap, that's what actually makes this news relevant, as the alternative exchanges were the newer or the "shady" ones(besides Abra, which immediately revoked the btc/stock trading pairs just after a few months probably due to regulations) that I definitely wouldn't trust with my money.

One thing's for sure though, liquidity and the order book is going to be shite(at least for now).

[exstasie]

Yes there have other options in the past but they all looked so wretched no sensible person would touch them.

To each his own. 1Broker had amazing UI (better than virtually all crypto exchanges except maybe Bitfinex) and impressive liquidity. And they always acted 100% honorably; impeccable reputation. And they never tried to force KYC on me like so many shitty exchanges that had customer documents hacked. I'm an old school bitcoiner so those things matter a lot more to me than regulatory boot licking and licenses and things like that.

I assume at some point an established broker will offer btc as a deposit and withdraw option, if not an actual trading pair.

How about eToro? They allow crypto deposits and withdrawals, right?

I'm sure the bigger brokers will eventually get on board, now that the Paypals of the world are entering the fray.