EDX Markets, the cryptocurrency exchange backed by Citadel Securities, has applied for a national trust bank charter with the U.S. Office of the Comptroller of the Currency (OCC), marking a significant step toward deeper integration between digital asset firms and the traditional banking system. The application, made public on April 1 according to recent filings, would allow EDX Markets to offer custody, asset management, and principal trading services while continuing to operate its existing order-matching platform.
In its filing, the company argued that combining brokerage, exchange, and custody functions within a single entity creates conflicts of interest and introduces operational risk. A trust bank model, it said, would separate custody and settlement from trading activity, aligning digital asset infrastructure with established financial market practices. If approved, the trust charter would allow EDX Markets to expand its custody and settlement capabilities under federal oversight, enabling it to hold client assets, provide fiduciary services, and manage portfolios subject to OCC supervision.
Trust Bank Model Reduces Systemic Risk
EDX Markets stated that its proposed structure would reduce systemic risk by separating functions that are often combined on crypto platforms. The company pointed to traditional equities and derivatives markets, where exchanges, brokers, custodians, and market makers operate as distinct entities. That separation, it said, limits conflicts between trade execution and asset custody while strengthening safeguards for client funds.
Chief executive Tony Acuña-Rohter said the firm expects large banks to play a central role in the next phase of digital asset adoption. He noted that obtaining a trust charter would position EDX Markets to serve institutional clients requiring regulated custody and settlement systems.
Banks Are Coming to Crypto
The application arrives during a shift in federal policy toward digital assets. Under the current administration, regulators have shown greater openness to crypto firms seeking entry into the banking system. Several companies have pursued similar charters in recent months as part of a broader push to operate under federal supervision. In December, regulators granted conditional approval for trust bank charters to firms including Circle Internet Group and Ripple, signaling a willingness to bring digital asset firms into the regulatory perimeter governing custody and asset management.
Acuña-Rohter emphasized that large banks will be central to the next wave of digital asset adoption, and EDX's charter application is timed to align with this evolving regulatory landscape.
EDX Markets Background and Investor Lineup
Founded in 2022, EDX Markets was built to serve institutional investors and financial firms entering the digital asset sector. In addition to Citadel Securities, its backers include Virtu Financial, Fidelity Digital Assets, and Hudson River Trading. The platform was designed to mirror the structure of traditional financial markets, with a focus on separating trading activity from custody and settlement.
If the trust bank charter is approved, EDX Markets will become one of the first institutional-grade crypto exchanges to operate under a federal regulatory framework, potentially attracting major banks and asset managers. The move signals that the crypto industry is moving closer to full integration with the U.S. banking system.