Charles Schwab has finished rolling out direct bitcoin and ether trading to eligible retail clients and has started crypto transfers. Solana, Avalanche and Chainlink are planned by year-end, and the CEO described crypto as a source of transaction-based revenue.
Charles Schwab has completed its retail rollout of direct bitcoin and ether trading for eligible clients, CEO Rick Wurster said during the brokerage's Oct. 15 Fall Business Update. The firm is now beginning to introduce crypto transfers.
Three additional coins are next. Schwab plans to add Solana (SOL), Avalanche (AVAX) and Chainlink (LINK) before year-end, according to Wurster's webcast. The retail service began rolling out in May.
Wurster points to new revenue streams
Asked about earning more from Schwab's platform, Wurster named crypto and prediction markets as areas creating "additional transactional-based revenue streams", according to The Defiant. Schwab's crypto service charges 0.75% on each purchase and sale, with a minimum fee of one cent.
Eligibility is determined at the account level: applicants need an eligible linked brokerage account. Schwab's terms exclude New York, Louisiana, U.S. territories and international jurisdictions, and not all clients qualify.
Transfers arrive with set limits
Deposits and withdrawals are being enabled in phases, and Schwab notifies clients by email when their accounts qualify. The feature supports bitcoin on the Bitcoin network and ether on Ethereum, so enrolled clients can move existing holdings into Schwab or send coins to external wallets.
Clients hold crypto in a separate account at Charles Schwab Premier Bank, with Paxos providing sub-custody. Users must verify their identity and set up a passkey, and new withdrawal addresses require at least a 24-hour waiting period.
Withdrawals are capped at three per 24 hours and $5,000 per transfer, while deposits are capped at $50 million per month. Schwab charges no transfer fee, but outgoing transactions incur blockchain network fees.
Client assets stood at $13.33 trillion as of Sept. 30, according to Schwab's third-quarter results.
Source: The Defiant
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