arlier in February 2019, SoFi CEO said, “Our target audience wants to see what the price of cryptocurrency is, and to buy it. They have a desire to do that and in many cases they already are.”
A partnership with Coinbase followed soon after to roll out crypto support on the San Francisco fintech startup. Today it is finally here! San Fran-based financial firm SoFi has added crypto trading support to its platform SoFi invest and even better yet, it is zero-fee cryptocurrency trading.
Keep in mind however, that the zero-fee trading won’t last forever, in the coming weeks there will be a 1.25% fee. After the demand of almost 1 million of its members, SoFi invest is now the first platform that offers automated and active investing with crypto, stocks, and ETFs all through one app.
Feedback from out members has made it clear that a significant percentage are not only interested in learning more about cryptocurrencies, but are also already buying and selling crypto,” said SoFi CEO Anthony Noto. “We’re very pleased to be adding this new product to SoFi Invest, as access, education, and keeping costs low for our members is at the heart of what we do.”
Clients of the financial service provider will be able to trade the three major cryptocurrencies, Bitcoin, Litecoin, and Ethereum and the service claims that no wallet will need to be set up.
To attract more users and crypto savy users to the plaform, SoFi is offering a $25 bonus for those who sign up for a SoFi “crypto entity” account and purchase at least $10 dollars (USD) of any cryptocurrency with seven days. There is lots of time to make the decision since the offer expires at the end of 2019.
Initially, moves like this were considered to risky by most established financial institutions and the idea of trading what most consider, ‘high-risk’ assets leave little desire to spend R&D funds developing a platform for crypto, while proven and less volatile stocks and ETFs exist and are working.
However, Noto suggested that the notorious volatility of cryptocurrency and digital assets might be an advantage, and not a liability that some see. In an interview with Fortune, Noto said he has long been intrigued by cryptocurrency and has invested in it for a year, primarily Bitcoin.
The outlook for the new platform based in initial sign up has been positive, there are already over 100,000 people investing using the SoFi investment platform. Outside of a handful of states, including New York and New Jersey for regulatory issues, the platform will be nation-wide within a few months according to the company.
The opportunities for fintech to adopt crypto are evident, and the window is closing soon. Bigger financial institutions will see the success of start-ups like SoFi and soon invest millions into platforms for trading.
So, while many platforms will no doubt create incentives to trade, we feel that zero-fee trading is a very good reason to sign up as a U.S.-based investor. The only question to consider is how the crypto market and Bitcoin price respond to the increase of services and support.