The incoming CEO of Charles Schwab, Rick Wurster, said the firm is eyeing spot crypto trading under the Donald Trump administration.
Amid the mainstream adoption of digital assets and web3 protocols fueled by institutional investors, Charles Schwab Corp (NYSE: SCHW), a leading American multinational financial hub with over $8 trillion in clients’ assets, has signaled imminent entry into the crypto industry. According to the upcoming Chief executive officer Rick Wurster, the firm will ultimately offer spot crypto trading under Donald Trump‘s administration.
With the majority of the recently elected US leaders already pro-crypto, Charles Schwab is confident of clear regulations for the industry. Moreover, Trump is heavily invested in the crypto and web3 space and has a reputation to observe.
“We will get into spot crypto when the regulatory environment changes, and we do anticipate that it will change, and we’re getting ready for that eventuality,” Wurster, currently the firm’s president, noted.
In an interview with Bloomberg, Wurster highlighted his regrets for not entering into the crypto space back in 2012. However, he emphasized that the industry is still in the early stages of mainstream adoption as the masses have not yet endorsed it fully.
“Crypto has certainly caught many’s attention, and they’ve made a lot of money doing it. I have not bought crypto, and now I feel silly,” Wurster said.
Currently, Charles Schwab offers crypto futures and crypto-linked exchange-traded funds (ETFs) to its clients. However, Wurster acknowledged the intense competition in the financial industry, especially due to the palpable success of the young web3 companies led by Robinhood Markets Inc (NASDAQ: HOOD), and Coinbase Global Inc (NASDAQ: COIN).
Impact on Crypto Market
The total cryptocurrency market cap has rallied to a new all-time high of nearly $3.5 trillion catalyzed by the ongoing institutional FOMO. Bitcoin price BTC $93 291 24h volatility: 0.1% Market cap: $1.85 T Vol. 24h: $31.76 B has rallied above $99k for the first time in its history fueled by the notable cash inflows, especially through the US spot BTC ETFs.
According to the latest market data, the US spot Bitcoin ETFs have registered a net cash inflow of over $30 billion and currently hold more than $104 billion in assets under management (AUM). BlackRock’s IBIT has been leading in notable cash inflows, and more is expected as the firm anticipates adopting a strategic Bitcoin reserve in the near term.
More institutional investors, led by MicroStrategy Inc (NASDAQ: MSTR) and MARA Holdings, have been adorning Bitcoin as a hedge factor against fiat debasements and inflation. On Thursday, MicroStrategy announced the completion of a $3 billion offering to purchase more Bitcoins. Earlier this week, MicroStrategy completed a purchase of $4.6 billion worth of Bitcoins through stock sales and now holds over 331K BTC units.
The long-term impact of the mainstream adoption of crypto assets will be evident once more nation-states add Bitcoin to their strategic reserves.
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