Technology Marketing Technology

TD Ameritrade Invests in Digital Currency Exchange

News October 03, 2018 at 03:38 PM
Share & Print

TD Ameritrade says it has invested in ErisX, a platform that combines a derivatives exchange and clearing group for digital-asset futures and spot contracts.

The move comes on the heels of the firm's offering of Bitcoin futures to some clients last year and was announced early Wednesday, ahead of TD Ameritrade President and CEO Tim Hockey's keynote speech at the Security Traders Association meeting in Washington.

"Our retail clients are seeking to access and trade digital currency products in the same way they do with traditional capital markets — through a legitimate, regulated and transparent exchange," according to Steve Quirk, executive vice president of trading and education for TD Ameritrade. "That's precisely why we chose to invest in ErisX — to make digital currency products more accessible to retail clients."

The firm says no cryptocurrency product likely will be available to investors or advisors in the short term.

"As a strategic investor in the initiative, we look forward to working with the team at ErisX as they develop and launch digital currency products designed to fulfill the needs of retail investors," said JB Mackenzie, managing director of futures and foreign exchange at TD Ameritrade, in a statement. "ErisX's plan is to offer traders access to cryptocurrency spot contracts as well as futures contracts on a single exchange."

Earlier this year at TD Ameritrade Institutional's LINC conference, wealth manager Ric Edelman said that Vanguard and wirehouse firms that pledged to stay away from cryptocurrencies "will be eating those words."

TD Ameritrade clients have some $1.2 trillion in assets on its platform. The firm also provides custodial services to more than 6,000 registered investment advisors.

Young Professionals
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Related Stories

SEC Enforcement Chief Doubles Down on Need for Texting Crackdown What Makes the 2024 Luminaries Finalists Stand Out Robo-Advisor's Pro Athlete Ads Broke Marketing Rule, SEC Says Consumer Groups Balk at E-Delivery Bill SEC Chief Defends Texting Crackdown What RIAs Should Know About Data-Based Marketing

Resource Center

Can Systematic Risk Be Reduced? link

Guide

Can Systematic Risk Be Reduced?

The Business Model Playbook: Mastering Technology for Firm Success link

Playbook

The Business Model Playbook: Mastering Technology for Firm Success

Harnessing AI to Power Advisor-Client Relationships link

White Paper

Harnessing AI to Power Advisor-Client Relationships