Social Finance Inc., popularly known as SoFi, has started rolling out a beta version of its cryptocurrency trading service for the current users of the platform, focused around three initial assets namely, Bitcoin, Litecoin, and Ethereum.
The highly reputed firm involved in consumer finance and wealth management has integrated with San Francisco domiciled cryptocurrency exchange, Coinbase to kickstart the highly anticipated trading activities.
The new platform will be known as SoFi Invest and will be easily accessible to the users through SoFi.com and the SoFi app. It does not create any coin nor does it serve as a wallet; but is a feature which allows individuals to sell and buy cryptocurrency. More than 40 other coins will soon be available.
In order to indulge in the trading of cryptocurrencies, users need to fund their SoFi Invest active account through SoFi.com or its app. After funding of the account, a person will be able to trade crypto, stocks, and ETFs.
Cryptocurrency trading through SoFi Invest will be accessible in 36 states, including Alabama, California, and Ohio. The residents of New York City will not be able to sue SoFi Invest for trading. As per the announcement made by SoFi, the users will not be able to transfer cryptocurrencies to an external wallet.
The statement made by SoFi read that “by having a closed system, we can better secure your crypto assets.” It further clarified, “in the future, we may consider adding the ability to transfer crypto into or out of your SoFi Invest account, but it isn’t a planned feature at this time.”
The platform has fixed the daily maximum order limit of $50,000 for each user, while the minimum order size per transaction is set to $10.
Concerning the SoFi charges, the platform is likely to demand a markup of up to 1.25% on crypto transactions. A user who sells all or a part of his/her crypto holdings on SoFi Invest will receive the returns in USD, in their account, the next business day.
Earlier in February, SoFi announced its plan to explore the crypto arena by gearing up to offer cryptocurrency trading in the second quarter of 2019.