THE XP Inc intends to open its trading platform crypto assets to customers until mid-August, initially offering bitcoin and ether, but with plans to expand the portfolio by the end of the year.
“In the coming weeks, in mid-August, we started to open (the platform) to clients who have the right profile for this type of operation,” Lucas Rabechini, director of financial products, told Reuters.
XP currently has 3.6 million customers, but trading with cryptocurrencies will respect eligibility rules, considering the risk profile of each one. Access to Xtage – as the platform is called – will be through XP’s investment application.
According to the executive, “by the end of December and the beginning of next year” there will be 10 more cryptoassets. The platform is also working on new features, which it hopes to implement in the second half of the year.
As for other digital assets such as tokens, including non-fungible tokens (NFTs)he stated that there are study groups, but that there is no defined initiative of what will be put into production on the platform.
At the time of Xtage’s announcement in May, the platform was expected to be available by the end of the second quarter.
Rabechini stated that there was no delay in the schedule, and that the platform is in the implementation phase, accessible since the beginning of July to the house’s employees, who are testing the product.
The moment of sharp drop in cryptocurrency prices – bitcoin has accumulated a fall of around 50% this year – does not change Xtage’s long-term strategic direction, said the executive.
“You can say ‘the volume is weak, there will be little order’, but we see that this market is systematically growing over time, and our long-term vision is not just price, but technology,” he said. Rabechini.
“Short-term movement is something that we are aware of, we follow it up to the point, but it is not…the main factor of concern”, he added.
The discussions, according to the executive, involve issues such as which assets are the safest, how to optimize profitability, what is being done involving tokenization and decentralized finance (DeFi).
Competition and rules for crypto assets
To face competition in the crypto segment, both from groups in Brazil and abroad, Rabechini said that Xtage is betting on the integration of the service with the XP ecosystem, all in one application, something that helps to build customer loyalty.
“There are competitors doing their homework, and they are super competent competitors, but we also have this competence”, stated the director of financial products at XP.
He also highlighted the technology infrastructure that will be used to execute the orders, the result of a partnership with US-based Nasdaq, which will enable “a super fast and super scalable platform”.
Among other large national financial groups that have recently announced services related to crypto assets to clients are Nubank, BTG Pactual and Itaú Unibanco.
Rules for the crypto-assets market are seen with good eyes, according to the executive, assessing that the impact on Xtage will not be complex, since XP is already regulated by the Central Bank and the Securities and Exchange Commission due to operating in the financial market. .
“It is something (regulation) that really gives a seal of professionalism to the market, gives confidence to the investor,” said Rabechini, at a time when the collapse of overseas cryptocurrency banks, such as the US Celsius and Voyager, has caused shock waves in digital currency quotes.
A bill that regulates and disciplines the cryptocurrency market in Brazil awaits a vote in the Chamber of Deputies. The text creates rules for the trading of crypto-assets and the functioning of exchanges, as well as rules to penalize crimes involving the use of crypto-assets.
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Source: Moneytimes
I am an author at Global happenings and I mostly cover automobile news. In my time working in the automotive industry, I have developed a keen interest in the latest developments and trends. My writing skills have also allowed me to share my knowledge with others through articles and blog posts.
