EDX Markets Completes $76 Million Funding Round Led by SBI Holdings

EDX Markets, an institutional cryptocurrency trading platform, has completed a $76 million funding round led by SBI Holdings. The company plans to use the funds to develop new products and expand internationally. EDX operates an institution-only crypto marketplace that separates trading from custody and settlement through a central clearinghouse. This model is designed to reduce counterparty risk and mirrors the structure used in traditional financial markets. SBI Holdings has been one of Japan’s most active financial groups in crypto, with its SBI VC Trade unit offering access to Ripple’s RLUSD stablecoin in Japan, and SBI Shinsei Trust Bank recently issuing JPYSC, a yen-denominated stablecoin developed with Startale Group. Last month, SBI agreed to acquire crypto exchange Bitbank for 46.7 billion yen ($289 million), adding to its existing SBI VC Trade platform. EDX has been moving beyond spot trading, introducing FlowConnect, a crypto-as-a-service product that allows financial firms to offer crypto trading to their customers. The company applied in April for a U.S. national trust bank charter through the Office of the Comptroller of the Currency (OCC). If approved, EDX Trust would provide regulated custody, clearing, settlement, and risk management services for crypto clients. EDX launched in 2023 with backing from Citadel Securities, Fidelity Digital Assets, Charles Schwab, Paradigm, and Sequoia Capital. The stablecoin market cap fell to $312 billion in June, its largest monthly drop since TerraUSD, while tokenized equity volumes surged 145% to a record $3.86 billion. As a Crypto Strategist, I believe that EDX Markets' funding round is an indicator of the growing interest in cryptocurrency trading among institutional investors. This development is a sign of the increasing adoption of cryptocurrencies and the growing demand for institutional-grade trading platforms. EDX Markets is well-positioned to contribute to the growth of institutional cryptocurrency trading and provide innovative solutions to its clients.