Citadel Securities, one of the leading market makers in the financial world, is making a decisive move towards cryptocurrencies. Led by Ken Griffin, the company aims to become a key player in the market with the support of Donald Trump.
Citadel's Role in Cryptocurrencies
This marks a significant shift in Citadel Securities' stance, which had previously taken a cautious approach to crypto. The company plans to join major exchanges like Coinbase and Binance as a market maker. Previously, Citadel avoided such exchanges due to unclear regulations in the US. Now, once approved, it plans to establish market-making teams outside the US, collaborating with companies like Charles Schwab and Fidelity to launch EDX Markets, an exchange for institutional crypto trading.
Regulatory Changes with Trump's Support
Along with other financial firms, Citadel is advocating for clear regulations to guide institutional investments in digital assets. Under the Trump administration, the industry is gearing up for more digital asset activity, bolstered by efforts to overhaul regulations, including an executive order on digital assets and the creation of a crypto task force by the SEC.
Comparison with Other Firms
While Citadel has evolved into a global trading giant in equities and bonds, it has avoided the crypto market in contrast to firms like Jane Street and Jump Crypto. These companies have also scaled back their US operations but continue trading in international markets.
Citadel Securities’ entry into the cryptocurrency market signifies a major shift in the company’s approach and aims to establish a leadership position in this rapidly evolving industry.
