Charles Schwab Launches Spot Crypto Trading Platform with Questionable Fees

Charles Schwab, a major brokerage and commercial bank, has entered the cryptocurrency market with its Spot crypto trading platform. Dubbed Schwab Crypto, the platform will allow retail investors to buy and sell Bitcoin (BTC) and Ethereum (ETH), with plans to add more assets over time.

The launch marks a significant move for Charles Schwab, which has been rumored to be planning a major push into spot crypto support. According to Eric Balchunas, a Bloomberg analyst, the platform's fees are a major concern.

Balchunas noted that Schwab charges 75 basis points (0.75%) per trade, making it more expensive than popular cryptocurrency exchange Binance, which charges an average of 0.1% per trade. This has led Balchunas to describe the platform as a 'tough sell' from a cost perspective.

Despite the high fees, Schwab Crypto offers several benefits, including direct access to BTC and ETH, and the ability to view both traditional and cryptocurrency assets in one place. The platform is set to go live in the coming weeks.