Schwab opens BTC and ETH trading

TLDR

Charles Schwab is launching direct spot Bitcoin (BTC) and Ethereum (ETH) trading for its retail clients through a new product called Schwab Crypto.

1. Schwab Crypto lets millions of clients trade BTC and ETH inside existing Schwab accounts, with a 0.75% fee and custody handled via Schwab Premier Bank and Paxos.
2. This puts Schwab in direct competition with Robinhood and Coinbase, further normalizing BTC and ETH as standard products at large U.S. brokerages.
3. The rollout is phased, starts in the coming weeks, and future additions like more coins and on/off?platform transfers will determine how impactful it becomes.

Deep Dive

1. Product Details And Scale

Schwab is introducing a dedicated feature called Schwab Crypto that enables spot trading of Bitcoin (BTC) and Ethereum (ETH) directly inside Schwab.com, the Schwab Mobile app, and thinkorswim, using linked crypto accounts tied to existing brokerage profiles. Reports indicate trades are priced at 75 basis points (0.75%) per transaction, which is lower than some rivals like Fidelity Cryptos roughly 1% but higher than Robinhoods near?zero commissions for some users.

Custody for the digital assets sits with Charles Schwab Premier Bank, SSB, while Paxos, an OCC?regulated blockchain infrastructure provider, supplies sub?custody and trade execution services, aiming to bring an institutional?grade setup to retail clients. Schwab, which manages over $10 trillion in client assets and serves roughly 39 million accounts, is initially limiting support to BTC and ETH, which together represent around three quarters of total crypto market capitalization.

2. Why This Move Matters

Until now, Schwab clients mostly accessed crypto via ETFs, funds, and derivatives tied to digital assets; direct spot trading of BTC and ETH inside Schwab marks a strategic shift toward native crypto exposure alongside stocks, bonds, and funds. This brings Schwab into direct competition with platforms such as Robinhood and Coinbase, but with the advantage of letting existing customers keep traditional and crypto holdings under one brand and interface.

For crypto markets, another large U.S. brokerage offering spot BTC and ETH trading expands the on?ramp for mainstream investors, although prediction and derivatives markets suggest the possibility of such traditional?broker moves was largely priced in, so immediate price impact can be modest.

3. What To Watch Next

The rollout is phased: Schwab is starting with BTC and ETH only, with no deposits or withdrawals to external wallets at launch, and then plans to add more coins and enable transfer capabilities over time. How quickly Schwab adds additional assets, supports on?chain transfers, and adjusts fees will determine how competitive it is versus crypto?native exchanges.

Regulatory developments also matter, since Schwab is positioning BTC as a commodity?like asset and using regulated partners; any changes in U.S. digital asset rules for broker?dealers and banks could influence how far Schwab and its peers can go. Watch also for responses from other big brokers and banks, as a wave of similar launches would further entrench BTC and ETH as standard portfolio components.

Conclusion

Schwab opening direct BTC and ETH trading turns two core crypto assets into first?class products at one of Americas largest brokerages, reinforcing their status in mainstream portfolios. The immediate impact is more about access, trust, and competition than about an instant price shock, and the real significance will depend on how quickly Schwab expands coins, transfers, and features, and whether other traditional firms follow with similar offerings.