Ken Griffin’s Citadel Securities is reportedly preparing to enter the cryptocurrency market as a liquidity provider, betting that President Donald Trump’s recent embrace of digital assets may open the door for wider adoption. Previously, the firm maintained a limited footprint on trading platforms favored by retail investors, citing a dearth of clear regulations in the US.
According to individuals familiar with the matter, the firm aims to become a major player on top crypto exchanges, including those operated by Coinbase, Binance, and Crypto.com.
“It’s a clear pivot from the firm’s previously cautious stance on crypto market-making,” one source said, noting that Citadel “has had a limited presence in crypto trading” until now.
Once approved on these platforms, Citadel plans to establish market-making teams outside the US before potentially expanding its operations domestically.
“The extent of the push and Citadel’s desire could change,” the source added, “based on how or if new regulations roll out in the coming months.”
In mid-2023, Citadel joined Charles Schwab, Fidelity Investments, and venture firms such as Sequoia Capital, Virtu Financial, and Paradigm to launch EDX Markets. That exchange has quickly gained traction by adopting best practices from the traditional finance world, particularly with a “distinctive non-custodial model that effectively addresses conflicts of interest.”
Speculation of a more regulated and stable crypto environment intensified after a spot Bitcoin ETF has been approved on traditional bourses.
This comes as the SEC, now under Trump’s appointee, Acting Chair Mark Uyeda, recently dropped its lawsuit against Coinbase, accusing the latter as an unregistered securities platform. It is worth noting that Coinbase spent over $46 million on the 2024 election and donated $1 million to Trump’s inauguration.
Following his win, Trump was met by Coinbase CEO Brian Armstrong privately to discuss personnel appointments. Since taking office, Trump has filled his administration with crypto advocates, some with conflicts of interest. Coinbase also hired Trump’s campaign co-manager, Chris LaCivita, to its Global Advisory Council, while Armstrong’s sister joined the Elon Musk-led Department of Government Efficiency.
Information for this briefing was found via Bloomberg, TruthOut, and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
