Stocktwits Opens Cryptocurrency Trading Services to Its Customers
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Stocktwits, a social
trading platform
Trading Platform
In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real-time updates on quotes, charts and is the main frontend which customers are facing.Brokers either use existing trading platforms and sometimes customize them, or develop their own platform from scratch. Since the beginning of the retail FX trading business MetaQuotes and its platforms MetaTrader 4 (MT4) and MetaTrader 5 (MT5) have been the industry standard, especially when it comes to automated trading.MT4 Shows Resiliency While MT4 has long been seen as ubiquitous amongst brokers’ offerings, a targeted push by MetaQuotes themselves has led to broader adoption of MT5 in recent years. Advanced trading platforms such as MT4 or MT5 also allow access to a wide range of asset classes available for trading.The development of trading platforms over the past decade has failed to successfully dethrone MT4 or MT5, notably in the retail market. However, in institutional markets, brokerage companies and banking entities also construct and utilize proprietary currency trading platforms to help satisfy internal needs with trades executed through institutional trading channels.By far the most important parameter for many retail clients is the optionality and pairs available on trading platforms. Additionally, demand by traders has led to a greater emphasis on newer features such as advanced charting and other tools.
In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real-time updates on quotes, charts and is the main frontend which customers are facing.Brokers either use existing trading platforms and sometimes customize them, or develop their own platform from scratch. Since the beginning of the retail FX trading business MetaQuotes and its platforms MetaTrader 4 (MT4) and MetaTrader 5 (MT5) have been the industry standard, especially when it comes to automated trading.MT4 Shows Resiliency While MT4 has long been seen as ubiquitous amongst brokers’ offerings, a targeted push by MetaQuotes themselves has led to broader adoption of MT5 in recent years. Advanced trading platforms such as MT4 or MT5 also allow access to a wide range of asset classes available for trading.The development of trading platforms over the past decade has failed to successfully dethrone MT4 or MT5, notably in the retail market. However, in institutional markets, brokerage companies and banking entities also construct and utilize proprietary currency trading platforms to help satisfy internal needs with trades executed through institutional trading channels.By far the most important parameter for many retail clients is the optionality and pairs available on trading platforms. Additionally, demand by traders has led to a greater emphasis on newer features such as advanced charting and other tools.
Read this Term based in New York, today announced that it is launching crypto trading on its platform. Stocktwits has partnered with crypto exchange FTX US to offer the infrastructure for the trading. The new capability will enable its users to make cryptocurrency trades while staying on the Stocktwits platform.
The addition of crypto trading on its platform is part of efforts of the company to court users looking to branch out from traditional investments. The expansion is poised to fulfill increased investor interest in alternative assets such as crypto assets. Stocktwits mentioned that it has over 6 million registered users and reaches more than 5 million users monthly.
Established in 2008, Stocktwits has historically focused on offering U.S.
equities
Equities
Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling partial ownership in the company.There are many reasons for individuals investing in equities. In the United States for example, equity markets are amongst the largest in terms of transactions, investors, and turnover.Why Invest in Equities?Overall, the appeal of equities the potential for high returns. Most portfolios feature some portion of equity exposure for growth.In terms of investing, younger individuals can afford to take on higher levels of equity exposure, i.e. risk. Consequently, these people have more stocks in their portfolio because of their potential for returns over time. However, as you are planning to retire, equity exposure becomes more of a risk.This why many investors or holders of retirement accounts transition at least part of their investments from stocks to bonds or fixed-income as they get older.Equity holders can also benefit through dividends, which differ notably from capital gains or price differences in stocks you have purchased.Dividends reflect periodic payments made from a company to its shareholders. They’re taxed like long-term capital gains, which vary by country.
Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling partial ownership in the company.There are many reasons for individuals investing in equities. In the United States for example, equity markets are amongst the largest in terms of transactions, investors, and turnover.Why Invest in Equities?Overall, the appeal of equities the potential for high returns. Most portfolios feature some portion of equity exposure for growth.In terms of investing, younger individuals can afford to take on higher levels of equity exposure, i.e. risk. Consequently, these people have more stocks in their portfolio because of their potential for returns over time. However, as you are planning to retire, equity exposure becomes more of a risk.This why many investors or holders of retirement accounts transition at least part of their investments from stocks to bonds or fixed-income as they get older.Equity holders can also benefit through dividends, which differ notably from capital gains or price differences in stocks you have purchased.Dividends reflect periodic payments made from a company to its shareholders. They’re taxed like long-term capital gains, which vary by country.
Read this Term through social features and data tools that are designed to encourage discussions between traders and investors. However, the company recently recognized that cryptocurrency has been evolving to become a huge part of the discussions on its platform.
Rishi Khanna, CEO of Stocktwits, talked about the development and said: “Stocktwits has built an active community since 2008 through our data tools and social features. The community and data have served as a strong on-ramp into the platform, but the addition of execution on the platform is a key product expansion that will help us to better serve our users.”
In December, Stocktwits raised $30 million in a Series B funding round led by Alameda Research Ventures, a venture capital firm, owned by Sam Bankman-Fried’s FTX cryptocurrency exchange. The funding pushed the valuation of Stocktwits to $210 million.
Making Equity Investing Accessible to Masses
A few years ago, StockTwits launched a commission-free share trading service for its users. The move mimicked the fast-growing service already offered by commission-free investing app Robinhood, which also has zero brokerage fees and has reached over 24 million of its users. StockTwits launched the fractional trading feature which eliminates the barriers that many investors face when trying to invest in a diversified portfolio of US-listed securities. Many firms currently use free or cheap trading services to attract clients to more profitable businesses.
The addition of crypto trading on its platform is part of efforts of the company to court users looking to branch out from traditional investments. The expansion is poised to fulfill increased investor interest in alternative assets such as crypto assets. Stocktwits mentioned that it has over 6 million registered users and reaches more than 5 million users monthly.
Rishi Khanna, CEO of Stocktwits, talked about the development and said: “Stocktwits has built an active community since 2008 through our data tools and social features. The community and data have served as a strong on-ramp into the platform, but the addition of execution on the platform is a key product expansion that will help us to better serve our users.”
In December, Stocktwits raised $30 million in a Series B funding round led by Alameda Research Ventures, a venture capital firm, owned by Sam Bankman-Fried’s FTX cryptocurrency exchange. The funding pushed the valuation of Stocktwits to $210 million.
Making Equity Investing Accessible to Masses
A few years ago, StockTwits launched a commission-free share trading service for its users. The move mimicked the fast-growing service already offered by commission-free investing app Robinhood, which also has zero brokerage fees and has reached over 24 million of its users. StockTwits launched the fractional trading feature which eliminates the barriers that many investors face when trying to invest in a diversified portfolio of US-listed securities. Many firms currently use free or cheap trading services to attract clients to more profitable businesses.
Cryptocurrency
