Citadel Securities Goes All-In on Crypto Liquidity and Investments
Citadel Securities has transformed its stance on crypto within three years. After avoiding cryptocurrency amid regulatory uncertainty, the firm launched EDX Markets in 2023 and now plans to provide liquidity on Coinbase, Binance and Crypto.com. Citadel Securities has invested strategically across key Web3 sectors. It joined Ripple’s $500 million funding round to support the RLUSD stablecoin and cross-border payments. The firm also made a $200 million strategic investment in Kraken, boosting exchange liquidity and global expansion. Additionally, it backed Canton Network’s $135 million RWA blockchain funding round for real-world asset tokenization. Citadel Securities remains compliance-focused and opposes exempting tokenized stocks from securities rules. These moves complete Citadel Securities’ upstream-to-downstream crypto buildout—from stablecoins through exchange partnerships to RWA infrastructure—highlighting its commitment to market liquidity and institutional adoption.
Bullish
Citadel Securities’ full embrace of crypto—from launching EDX Markets to major investments in Ripple, Kraken and Canton Network—signals strong institutional confidence. The firm’s liquidity provision on top exchanges is likely to deepen market depth and tighten spreads. Strategic stakes in stablecoins and RWA infrastructure can drive broader institutional adoption and foster new on-chain use cases. Historically, major market-maker entries (e.g., Jane Street, DRW) have boosted trading volumes and attracted further institutional flows. In the short term, traders can expect tighter bid-ask spreads and increased volume. Over the long term, these developments support sustained market growth, improved infrastructure resilience and enhanced regulatory clarity, reinforcing a bullish crypto outlook.