As the world’s largest online broker, TD Ameritrade has made a big splash in the cryptocurrency space. The company has been offering Bitcoin futures trading since December 2017, and it now also allows clients to buy and sell actual Bitcoins on the NAsdaq via its newly launched digital currency exchange.
This move by TD Ameritrade is significant because it could make buying and selling Bitcoin much easier for everyday investors. Until now, most people who wanted to invest in Bitcoin had to go through a complicated and often expensive process of setting up a digital wallet and then purchasing the currency on a decentralized exchange.
With TD Ameritrade, all that is required is an account with the broker. The process is still not as streamlined as buying stocks or other more traditional investments, but it is a major step in the right direction.
It is important to note that TD Ameritrade does not currently allow clients to hold actual Bitcoins on their platform. Instead, when you buy Bitcoin through TD Ameritrade, you are really just buying a contract that will track the price of Bitcoin.
This means that you will not have any control over your private keys, which could be a problem if Bitcoin prices suddenly plummet.
Overall, though, TD Ameritrade’s entry into the cryptocurrency space is a positive development. It could help to legitimize Bitcoin and other digital currencies as viable investment options for the mainstream public.
And as more people invest in Bitcoin, the price of the currency should continue to rise.