Charles Schwab is progressing with its plan to offer cryptocurrency spot trading to financial advisors on its managed platform, according to Jalina Kerr, the head of advisor experience at the firm. In a recent interview with Citywire, Kerr stated that the rollout is targeted for 2027, with a likely launch closer to mid-year, although an exact date has not yet been set. This move follows Schwab's earlier introduction of spot bitcoin and ether trading for retail clients earlier this year.
Advisor Demand and Regulatory Considerations
Kerr highlighted that digital assets operate outside the uniform regulatory framework that governs traditional brokerage and securities products. This means that every step of the process—from funding accounts to withdrawals—requires careful consideration to ensure compliance and security. She noted that for now, the majority of advisors prefer to use Schwab's exchange-traded products when allocating crypto to client portfolios. However, interest in direct spot trading has been picking up recently, signaling a shift in advisor appetite as the crypto market matures.
Competitive Landscape
Schwab is not alone in targeting the crypto custody and trading space for wealth managers. Its competitor Fidelity already offers crypto custody and trading solutions to wealth management professionals. Schwab's anticipated launch would place it alongside other traditional financial giants that are integrating digital assets into their service suites, intensifying the competition for advisor-directed crypto investments.
As Schwab continues to build out its crypto capabilities, the introduction of spot trading for advisors could strengthen its position in the rapidly evolving digital asset ecosystem, offering a more comprehensive suite of tools for both advisors and their clients.