Adoption News

Wall Street-backed Crypto Exchange a Sign of Lingering Interest Despite SEC’s Crackdown


Backed by Wall Street, EDX Markets crypto exchange launches, offering Bitcoin, Ethereum services amid SEC scrutiny

EDX Markets, a new crypto exchange backed by major Wall Street players such as Fidelity Investments, Citadel Securities and Charles Schwab, will offer Bitcoin , Bitcoin Cash, Ethereum and Litecoin trading services. The launch, which echoes BlackRock’s Bitcoin exchange-traded fund (ETF) filing last week, reflects the institutional interest in cryptocurrencies despite SEC’s crackdown on the industry.

Bitcoin, Bitcoin Cash, Ethereum and Litecoin are not named securities by the U.S. Securities and Exchange Commission.

CryptoCaster Quick Check:

New Jersey-based EDX has also completed a new funding round from investors, including options exchange operator Miami International Holdings and affiliates of proprietary trading firms DV Trading, GTS, GSR and Hudson River Trading, the exchange said in a press release Tuesday.


Unlike other centralized crypto trading platforms, EDX said it adopts “non-custodial model designed to mitigate conflicts of interest,” which means the exchange does not directly handle customers’ digital assets. Instead, it operates similarly to traditional stock markets where brokerage firms book orders from investors, as reported by The Wall Street Journal Tuesday.

EDX also plans to introduce a clearinghouse later this year to facilitate the transactions and exchange of payments, but will still refrain from directly holding investors’ assets.

Stay in the know on crypto by frequently visiting Crypto News Today

The risks intertwined with custodial models became evident last year with the collapse of the Bahamas-based exchange FTX. The U.S. SEC also leveled allegations against Binance, the largest cryptocurrency exchange in the world, accusing it of mixing customer assets.

In a move that has sent shockwaves through the cryptocurrency world, the recent launch of Fidelity and Schwab-backed EDX Markets has raised concerns about increased regulatory pressures from the U.S. SEC and the perceived encroachment of traditional finance into the crypto space. This development, coming hot on the heels of BlackRock’s application for a Bitcoin spot ETF, signals a shift in the dynamic between the fledgling crypto industry and the established financial powerhouses.


BlackRock, as the world’s largest asset manager, is a formidable player. With an impressive track record of a 575 to 1 success rate with the SEC for ETF filings, it’s a force that’s hard to ignore. Its unprecedented move into the Bitcoin ETF space — a domain where the SEC has so far shown relentless rejection — may point to a seismic shift in crypto markets, potentially tipping the scales in favor of traditional finance, a scenario that’s not sitting well with many in the Web3 industry.

Follow GappyCoin PreSale on Twitter, and ReCap for information and more.

Such concerns are compounded by the recent scrutiny faced by notable entities in the crypto banking sector — Silvergate Bank, Silicon Valley Bank and Signature Bank. These events have been labeled as “Operation Chokepoint 2.0” by critics, a nod to the perception that these enforcement actions are part of a larger regulatory strategy to unbank the crypto industry.

Recent punitive measures against major U.S.-based crypto exchanges like Binance and Coinbase arguably lend credence to this narrative. The vacuum left in the wake of these actions opens opportunities for traditional financial institutions to carve out a larger piece of the lucrative crypto pie in the world’s biggest economy.

However, this trend is not confined to the U.S. shores. The interest of TradFi in digital assets is gaining momentum globally. Deutsche Bank’s application to operate as a crypto custodian in Germany and Hong Kong’s recent overtures to its major lenders to embrace the crypto industry are cases in point.CRYPTOCASTER® - DECENTRALIZED FREEDOM!
Read More at FORKAST


e hope you enjoyed this article. Before you move on, we invite you to consider supporting CryptoCaster’s journalism.

Billionaire owners like Elon Musk, Larry Fink (BlackRock), and Jamie Dimon (JP Morgan Chase) often have a strong influence on the hidden agendas surrounding the paradigm shift brought about by cryptocurrency and emerging Web3 technologies. CryptoCaster stands apart. We have no billionaire owner or shareholders to please. Our journalism is dedicated to serving the public interest in crypto development and institutional disruptions, not profit motives.

We avoid the pitfall of much U.S. and global media, which often resorts to false equivalence in the name of neutrality and retail consumer protection. While fairness and transparency guide everything we do, we recognize that there is a right and wrong stance in the fight against fiat global banking interests and the monetary reconstruction driven by the emerging crypto ecology.

When we report on issues like the FTX, Binance, and Ripple crises, we’re not afraid to name names and uncover the truth. As a crypto sentinel, we offer a fresh, outsider perspective on global monetary disruption—something often missing from the insular American and European media bubble.

CryptoCaster’s paywall-free journalism is accessible worldwide thanks to our unique reader-supported model. This is made possible by readers like you. Your support keeps us independent, free from outside influence, and accessible to everyone, regardless of their ability to pay for news and information.

We are grateful for the ongoing monetary support from our readers. If you haven’t yet considered supporting CryptoCaster, please consider contributing just once from $1 or more in Bitcoin (satoshi) or Ether, or even better, support us monthly with a bit more. Scroll further down this page to find CryptoCaster’s wallet addresses.

Thank you.

Kristin Steinbeck
Editor, CryptoCaster

Please Read Essential Disclaimer Information Here.
© 2024 Crypto Caster provides information. does not provide investment advice. Do your research before taking a market position on the purchase of cryptocurrency and other asset classes. Past performance of any asset is not indicative of future results. All rights reserved.

Contribute to CryptoCaster℠ Via Metamask or favorite wallet. Send Coin/Token to Addresses Provided Below.
Thank you!
BTC – bc1qgdnd752esyl4jv6nhz3ypuzwa6wav9wuzaeg9g
ETH – 0x7D8D76E60bFF59c5295Aa1b39D651f6735D6413D
MATIC – 0x7D8D76E60bFF59c5295Aa1b39D651f6735D6413D
LITECOIN – ltc1qxsgp5fykl0007hnwgl93zr9vngwd2jxwlddvqt


You may also like