Market giant Citadel Securities reportedly plans to enter the cryptocurrency market

According to the report of insiders quoted by Bloomberg, Citadel Securities, a well-known market maker led by billionaire Ken Griffin, is seeking to become a liquidity provider of cryptocurrency, betting that the support of US President Donald Trump for this industry will bring new development opportunities for this asset category.

This move marks a shift from Citadel's previous cautious attitude towards cryptocurrency market manipulation. The company's participation in cryptocurrency trading is limited mainly due to the lack of relevant regulatory rules in the United States, which prevent it from entering exchanges commonly used by retail investors.

Insiders revealed that Citadel's goal is to become a market maker for multiple exchanges, including platforms operated by Coinbase, Binance, and Crypto.com. Once approved on the exchange, Citadel The initial plan is to form a city team outside the United States, and the level and willingness to promote it may change based on regulatory developments in the coming months.

According to the official website of Citadel Securities, the company processes $503 billion in daily transactions, accounting for nearly 35% of the total trading volume of US stocks.

After Sam Bankman Fried's FTX collapsed in 2022, cryptocurrency exchanges faced criticism for failing to operate multiple businesses (including custody, market making, and trading) separately, as this could lead to conflicts of interest and fund manipulation issues. In order to create some certainty and serve institutional clients, Citadel has partnered with brokers including Charles Schwab and Fidelity Investments to establish the cryptocurrency exchange EDX Markets, which specializes in serving institutional clients. The platform refers to the asset holding and settlement model of traditional stock and bond markets and was launched in 2023.

Related report: "Accused by Terraform Labs of causing UST decoupling, Citadel stands firm and requests court to dismiss motion and impose sanctions"