DriveWealthSoftBank-backed startup that assists fintech firms such as RevolutCNBC learned that offer stocks is becoming cryptocurrency trading.

New Jersey-based start up, valued at $2.85 billionDriveWealth CEO said that a recently raised capital was used to acquire a crypto company founded by Harvard-trained quantitatives. Two subsidiaries will be launched to execute and handle trades. Bob Cortright.

Contrary to other consumer-facing businesses like CoinbaseOr RobinhoodDriveWealth plays a role behind the scenes. By allowing Revolut to be partners, it has made fractional trading more popular. BlockCash App will allow users to purchase stock. DriveWealth boasts more than 100 global partners with an aggregate of 15,000,000 investors.

Cortright founded the start-up in 2012. It has been an unnoticed beneficiary of the retail trading boom. DriveWealth grew from a reported $200 millionInsight Partners and SoftBank Vision Fund backed the acquisition.

Its acquisition Crypto-SystemsCortright stated that DriveWealth will be able to offer bitcoin and ethereum trading services to its partners starting in April or May. Cortright stated that DriveWealth’s CEO has an entire crypto trading system with an algorithmic trading platform. This will allow them to offer more transparency in digital assets markets. These trade 24-7. fragmentedInternational network of exchanges.

It’s the most important thing in the crypto world right now. Wild WestCortright stated that prices vary widely. “There is very little price discovery. There are also no consistency in spreads. “We want to make that change.”

Cortright was a currency trader in the past and helped develop several online trading platforms. oneIt was bought by Bank of America2006 In 2006

“It is unsustainable,” he stated. He meant that customers trading on Coinbase and trading across the transaction spread are not able to continue. We can’t keep going in an environment where 200 basis points can be charged for a transaction as the regulatory frameworks tighten around cryptocurrency and customers become more concerned about spreads and efficiency.

Coinbase, America’s largest crypto exchange, has complicated fees for retail customers. The system is based on the trade size as well as payment method. These fees are as high as 4.5%Coinbase collects an additional spread in addition to transaction fees. The most recent earnings call,Coinbase stated that it is testing subscription models because it anticipates increased fees in the long term.

These transaction costs are not necessary for a product to be commercially viable. Cortright explained that the money is coming from the customers. This is something we’ve experienced before. We know it.”

Crypto is not only for trading and payments, but also personal finance apps. This product has been the most sought-after among our partners despite recent technological advances. plungeHe stated that cryptocurrency is a great investment. He said that e-commerce firms are now aiming to offer customers the opportunity to earn cryptocurrency rewards. The names of the companies were not revealed by him.

Cortright explained that many of the younger fintech or trading professionals want to make it available because they believe people will want to trade them. It’s an important part of building an investment portfolio. However, even large, well-established ecommerce businesses are seeing that many of their clients want crypto.

Cortright indicated that DriveWealth was preparing to go public in an 18-month time frame.