Charles Schwab, a leading name in everyday investing, is stepping directly into the world of cryptocurrencies. The firm plans to let retail clients buy and sell Bitcoin and Ethereum through a new service called Schwab Crypto, launching in the coming weeks. This move brings digital assets into the same trusted ecosystem where investors already manage their stocks and other holdings.
For those new to crypto, spot trading means you’re purchasing and owning the actual coins, such as Bitcoin or Ethereum, rather than speculating on their price through futures or other products. Schwab’s rollout follows a survey of nearly 500 crypto-curious investors, revealing top priorities such as low fees, strong security, and the backing of a trusted financial brand.
Bitcoin and Ethereum represent roughly 75% of total crypto market value and remain the most established and recognizable choices. By starting with these two, Schwab offers customers a familiar entry point into digital assets.
Investors will be able to trade crypto alongside their other investments through Schwab.com, the mobile app, and on the thinkorswim platform. Educational tools come built in, including articles from the Schwab Center for Financial Research, personalized coaching sessions, and 24/7 support from experienced professionals.
Trading fees are set at 75 basis points per transaction, equivalent to 0.75%, which is competitive compared with many other retail platforms. Schwab plans to expand over time, adding more coins and enabling crypto transfers in and out of accounts.
Crypto assets will be held in separate accounts managed by Charles Schwab Premier Bank, with Paxos providing regulated execution and custody. Paxos’s infrastructure is trusted across major financial institutions, offering high levels of security and compliance.
Robinhood (NASDAQ: HOOD) has led retail crypto access since 2018, offering dozens of coins with no commission fees but a small spread built into prices, an approach that appeals to younger, app-focused traders. Fidelity Investments also provides spot trading in Bitcoin and Ethereum but primarily serves institutional and high-net-worth clients, making Schwab’s broader retail integration especially noteworthy.
Schwab’s edge lies in connecting crypto to its comprehensive suite of investing tools and research. Its clients already hold about 20% of spot crypto exchange-traded products (ETPs), which track crypto prices without direct ownership. Now, spot trading brings true ownership and more flexibility into the same trusted environment.
While Robinhood rose during the 2021 crypto boom with low-cost trades and fractional coin purchases, it faced criticism for service outages during market surges. Schwab differentiates itself with reliable support and structured education, positioning crypto as one part of a balanced long-term portfolio rather than a standalone trading trend.
Of course, security remains paramount in this space. Schwab’s partnership with Paxos ensures regulated custody and eliminates the need for risky self-storage setups. Clients can manage crypto seamlessly alongside their brokerage accounts.
Until now, Schwab’s crypto offerings were limited to futures, ETFs, and ETPs. Spot trading completes the picture, allowing investors to view all assets in one place. Early access is available at Schwab.com/cryptocurrency.
With $12 trillion in client assets, Schwab brings both scale and credibility to the crypto sector. As traditional brokers continue to expand into digital assets, the lines between crypto and conventional investing are disappearing, making this space more approachable than ever.
