Crypto Exchange EDX Markets Taps Anchorage as Custody Provider

The exchange, which is backed by several Wall Street firms, differs from its peers because it doesn’t hold customers’ digital assets.

Crypto exchange EDX Markets, which is backed by Wall Street giants including Citadel Securities and Charles Schwab, tapped Anchorage Digital to provide custody for its clearinghouse business set to launch later this year, the company said Tuesday.

The clearinghouse will help settle trades matched on EDX. Anchorage is the only federally chartered crypto bank in the U.S., making it the “ideal partner,” EDX CEO Jamil Nazarali said in a statement.

EDX differs from other crypto exchanges in that it doesn’t hold customers’ assets and instead, users have to go through financial intermediaries to buy and sell crypto assets, which is why the partnership is crucial for the exchange.

“Drawing from the blueprint of traditional finance will be critical to unlocking the next phase of institutional crypto,” said Diogo Monica, co-founder and president of Anchorage Digital. “Anchorage Digital has proven that separating custody and exchange functions for institutions isn’t just possible, it’s essential.”

EDX Markets started operations earlier this year with backing from investors such as Fidelity, Schwab, Paradigm, Sequoia Capital and Citadel. The exchange currently offers four tokens – bitcoin (BTC), ethereum (ETH), litecoin (LITE), and Bitcoin Cash (BCH) – and plans to add more once there is more clarity around regulation in the U.S.

BY: Helene Braun

Edited by Sheldon Reback


Please note that our privacy policyterms of usecookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Related Articles


This site uses Akismet to reduce spam. Learn how your comment data is processed.

ProTraders Announcement​

We moved our two subscriptions to a Discord channel

Now you can Join us on Discord Channel