Toronto-based Bitbuy, a WonderFi company, is set to offer stock trading to its users.

By adding stock trading to its crypto exchange platform, Bitbuy is “taking aim at leading competitor Wealthsimple,” as a spokesperson for the company put it in a statement to BetaKit.

This move into stock trading is another ‘first” in the Canadian crypto space that Bitbuy has claimed, as it was also Canada’s first regulated crypto exchange.

Bitbuy’s expansion into stock trading is delivered through a partnership with Canaccord Genuity Group and AlpacaDB, a United States company that offers stock and crypto trading APIs The product is expected to become available in the first quarter of next year, and will allow users to invest in around 3000 listed securities, as well as 8000 over-the-counter stocks and exchange-traded funds.

This year’s crypto downturn, paired with the subsequent consolidations in the space, has resulted in a three-horse race in Canada when it comes to offering crypto investing opportunities, according to Bitbuy, which named its parent company and crypto consolidator WonderFi, Wealthsimple, and Coinsquare (which recently bought CoinSmart).

In a statement shared with BetaKit, Bitbuy declared that “WonderFi is taking aim at Wealthsimple and their 2,000,000 Canadian users by offering, what they feel, is a superior stock trading platform.”

Whereas Wealthsimple started in stocks and then expanded into crypto, Bitbuy has taken the reverse approach.

The three above-mentioned companies are far from the only players in Canadian crypto exchanges, however. Bitbuy is one of the nine registered crypto platforms under the Ontario Securities Commission, alongside Bitvo, Fidelity Clearing Canada, Netcoins, Newton Crypto, VirgoCX, and Wealthsimple, as well as WonderFi’s Coinberry, and Coinsquare’s CoinSmart.

Bitbuy touts this new offering as the first fractional trading platform in Canada with real-time settlement. It pointed out that Wealthsimple has fractional trading, but claimed that settlements are done at the end of the day.

RELATED: WonderFi clears regulatory hurdles, set to close acquisition of registered crypto marketplace Bitbuy

“Stock trading through Bitbuy promises to be extremely efficient, low cost and innovative in the Canadian market,” said television personality and entrepreneur Kevin O’Leary, who is also a strategic investor in WonderFi. “We are primarily aiming Gen Z and millennials with this, who are looking for a one-stop solution … Fractional trading also allows young Canadians with limited capital to build their portfolio for the first time.”

Founded in 2016 by Adam Goldman, Bitbuy claims that it has served over 400,00 users in Canada with $5 billion in crypto traded across its platform. WonderFi first announced its intent to acquire Bitbuy in January. The deal, which was worth approximately $206 million CAD in shares and cash, was closed in March. WonderFi recently announced its intent to acquire Toronto-based Blockchain Foundry earlier this month.

This move into stock trading is another ‘first” in the Canadian crypto space that Bitbuy has claimed, as it was also Canada’s first regulated crypto exchange.

Featured image from Bitbuy’s website.

The post WonderFi-owned Bitbuy takes aim at Wealthsimple with stock trading launch first appeared on BetaKit.

Leave a Reply