FTX US to Make Fractional Stock Trading Free

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  • The app launched with 970 stocks, ETFs and Amer­i­can depos­i­to­ry receipts avail­able for trading
  • FTX US hopes to allow users to trade stock options on the app in the future

The major­i­ty of trades on cryp­to exchange FTX US’s new stocks appli­ca­tion have been of the frac­tion­al vari­ety — lead­ing the com­pa­ny to waive fees for such trades mov­ing for­ward, the com­pa­ny told Blockworks. 

The US affil­i­ate of cryp­to exchange FTX, which revealed plans to launch a com­mis­sion-free stock trad­ing plat­form in May, offi­cial­ly unveiled the app Wednesday. 

Sev­er­al thou­sand peo­ple from a wait­list par­tic­i­pat­ed in its pri­vate beta stage in recent months, and on Wednes­day it became avail­able to res­i­dents in all 50 states, FTX US Pres­i­dent Brett Har­ri­son said in a tweet. FTX US is the US affil­i­ate of cryp­to exchange FTX. 

The app launched with 970 tick­ers avail­able to trade — includ­ing stocks, ETFs and Amer­i­can depos­i­to­ry receipts — and plans to add thou­sands more in time. Ulti­mate­ly, Har­ri­son said, FTX US hopes to allow users to trade stock options.

Har­ri­son declined to share the num­ber of users or trad­ing vol­ume FTX Stocks booked in its first day, but not­ed that he was sur­prised to see the high amount of trades that rep­re­sent­ed less than one share of a stock. 

Peo­ple are show­ing inter­est in trad­ing $100 of Tes­la stock, for exam­ple, Har­ri­son not­ed, despite a share of Tes­la being worth, as of Fri­day after­noon, near­ly $900.

“That is clear­ly a very impor­tant part of the plat­form,” he said. “And, in fact … we’re going to make all trades under­neath one share be free.”

Exclud­ing the free frac­tion­al shares trad­ing, FTX Stocks will charge a fee rep­re­sent­ing 0.05% of the notion­al val­ue of the trade, or 1 cent per share — whichev­er is low­er — begin­ning Oct. 1. 

“The goal there is to have a ful­ly trans­par­ent, very clear­ly well defined fee as opposed to a sort of hid­den cost asso­ci­at­ed with pay­ment for order flow,” Har­ri­son said.


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  • Ben Strack
    Ben Strack is a Den­ver-based reporter cov­er­ing macro and cryp­to-native funds, finan­cial advi­sors, struc­tured prod­ucts, and the inte­gra­tion of dig­i­tal assets and decen­tral­ized finance (DeFi) into tra­di­tion­al finance. Pri­or to join­ing Block­works, he cov­ered the asset man­age­ment indus­try for Fund Intel­li­gence and was a reporter and edi­tor for var­i­ous local news­pa­pers on Long Island. He grad­u­at­ed from the Uni­ver­si­ty of Mary­land with a degree in journalism.

    Con­tact Ben via email at [email pro­tect­ed]



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