Stash investment app expands access to crypto

Stash investment app expands access to crypto

Banking and investment platform Stash on announced tuesday Expanded access to cryptocurrencies for users with a separate crypto account for its two million users, with the opportunity to purchase eight cryptocurrencies including Bitcoin, Ethereum and Bitcoin Cash.

“We are looking at this as an opportunity for growth [for users] Being able to invest and learning about this growing asset class said Douglas Feldman, chief investment officer at Stash. “We have a very strong long-term view… that the crypto and blockchain technologies that cryptocurrency depends on, will become more widespread.”

The announcement comes nearly a year after the company introduced its cryptocurrency offering in Smart Portfolio Managed Accounts. Feldman said that despite the volatility of the cryptocurrency market, buying cryptocurrencies directly through Stash — a feature that customers demand — is a long-term game to help users build wealth over time through diversified wallets.

Stash is partnering with Apex Crypto, which will act as a sentinel. Stash is joining a growing number of traditional financial services companies to expand their reach into crypto this year. Fidelity Investments has been considering allowing individual investors to trade bitcoin on its brokerage platform, The Wall Street Journal mentioned Last month.

“We try not to focus on downturns and focus on some long-term indicators,” said Tom Jessup, president of Fidelity Digital Assets. recently said The magazine is about the company’s efforts in the field of cryptography.

Claudio Esposito, Senior Vice President and Head of Product at Stash, said that the ability to purchase cryptocurrencies directly through Stash accommodates users who want a more hands-on approach to building their portfolios.

Stash said it recommends users to create a relatively small percentage of their asset mix, and offers an in-app calculator and alerts that advise when they have too much exposure to cryptocurrency compared to their risk profile. The company said that customers should also read the educational material before investing in cryptocurrencies.

While customers can purchase cryptocurrencies through the Stash platform, they will not be able to send the cryptocurrencies they purchase through Stash to an external wallet. Stash said he’s open to enabling this ability in the future, but he has no plans to do so now. (The Robinhood investment app, by comparison, includes The ability to transfer cryptocurrency to and from Robinhood crypto accounts and more recently Launched Crypto wallet is not a wallet.)

The ability to buy cryptocurrency through Stash is the first product to be offered New platformwhich was introduced last month. The company is working to end its use of the Green Dot platform, a move it said would give it more control over product offerings.

“When we started, we weren’t sure how much we would get into banking at that time, and the best thing for us was to have an integrated partner that would provide everything we needed,” Esposito said. “With expansion and growth…what we wanted was more control over the experience and more control over the infrastructure, and that’s not the kind of offering Green Dot has today.”

Stash, which is It said Worth $1.4 billion, it said it has $3 billion in assets under management and $125 million in annual revenue.

Fintech industry analyst Grant Easterbrook said the addition of cryptocurrency will help Stash gain and retain customers. For existing customers, encryption could be a tool for boosting engagement within the platform versus looking for those offerings elsewhere, he noted.

“Possible customers often compare and contrast features when choosing a provider, and not offering cryptocurrency trading would have formed an increasingly important gap if Stash had not offered it,” he said.

While educational tools may help introduce new customers to cryptocurrency, the inability to move crypto in and out of the Stash platform may present challenges in the long run, he said.

“The main centralized crypto exchange alternatives that Stash customers might consider for cryptocurrency trading all offer the ability to send cryptocurrency in and out of their platform,” he said. “In order to be competitive in this industry, Stash will one day need to provide customers with the ability to send and take out crypto.”

#Stash #investment #app #expands #access #crypto

Leave a Comment

Your email address will not be published. Required fields are marked *