Schwab launches BTC and ETH trading

TLDR

Charles Schwab has begun rolling out spot Bitcoin (BTC) and Ethereum (ETH) trading to U.S. retail clients through its new Schwab Crypto platform.

1. Schwab now lets eligible U.S. retail clients trade spot BTC and ETH alongside stocks and ETFs, with a 0.75% fee and custody handled via Schwab Premier Bank and Paxos.
2. Only Bitcoin and Ethereum are supported initially, reflecting a conservative, blue chip approach as Schwab extends direct crypto access across a roughly $12 trillion traditional brokerage footprint.
3. Key things to watch are how fast access expands, whether more coins are added, and how rivals like Fidelity, Morgan Stanley, and UBS respond on fees and product breadth.

Deep Dive

1. What Schwab Is Launching

Schwab has launched a dedicated Schwab Crypto account that lets selected retail clients trade spot Bitcoin and Ethereum directly through Schwab.com, Schwab Mobile, and thinkorswim, alongside traditional assets. Reports highlight that this is a phased rollout to a first group of eligible clients, with broader access planned over time.

The service is currently limited to U.S. residents and excludes New York, Louisiana, U.S. territories, and international users, according to platform FAQs referenced by multiple outlets. Trading carries a 75 basis point (0.75%) fee per transaction, with Schwab Premier Bank as custodian and Paxos handling execution and sub custody for the crypto assets.

2. Why This Matters For Crypto

This is Schwabs first move into direct spot crypto trading after years of only offering crypto exposure via ETFs, futures, and related products. With around $11 to $12 trillion in client assets and tens of millions of accounts, integrating BTC and ETH into a familiar brokerage environment could be a meaningful adoption catalyst.

By limiting support to Bitcoin and Ethereum, which together represent roughly three quarters of total crypto market cap, Schwab is signaling a focus on the most established, liquid assets rather than the long tail of altcoins. This positions Schwab as a conservative alternative to exchanges that list hundreds of tokens.

3. What To Watch Next

Several trends now matter:

1. Access and scale: How quickly Schwab opens Schwab Crypto to more of its 30 to 40 million clients, and whether usage volumes become large enough to influence BTC and ETH flows.
2. Product scope: Whether Schwab adds more cryptocurrencies or related features like staking, or stays focused on BTC and ETH as core digital assets.
3. Competitive response: Other major brokers and banks, including Fidelity, Morgan Stanleys E*TRADE effort, and UBSs planned offerings, may accelerate their own spot trading or tokenization plans in response.

Conclusion

Schwabs launch of BTC and ETH trading brings the largest crypto assets inside one of the biggest U.S. brokerage platforms, tightening the link between traditional portfolios and digital assets. The immediate effect is more about infrastructure and access than short term price moves, but the pace of rollout, asset expansion, and competitive responses could shape how mainstream investors treat crypto in standard allocations over the next few years.