Schwab Brings Crypto Trading to 40 Million Clients at Fraction of Industry Prices

Charles Schwab's decision to launch spot trading in Bitcoin and Ether for its retail clients has been described as 'the most consequential crypto launch of 2026.' The rollout, which began on May 13, allows clients to trade with a flat 75 basis points per trade, custodied at Schwab's own bank with Paxos providing sub-custody and execution.

The move was made despite the market being in a drawdown, with Bitcoin sitting near $63,000 and total crypto market around $2.25 trillion. Industry spot volumes fell 25% quarter over quarter in Q2, but Schwab's clients were already holding about $25 billion of crypto ETPs.

Schwab's CEO, Rick Wurster, has stated that his clients want to consolidate their holdings, and the firm's decision to launch was driven by client demand rather than a desire to chase market cycles. The rollout mechanics were deliberately unglamorous, with a waitlist opening in April behind an employee pilot.

The move has been seen as a significant blow to traditional exchanges such as Coinbase, which charges a 1.75% take rate on consumer volume. Fidelity and E*Trade have also launched their own crypto offerings, with Morgan Stanley investing in Zerohash and using it as infrastructure for its own trading platform.

The decision by Schwab to launch spot trading has been seen as a major shift in the way retail clients interact with cryptocurrency. The firm's ambition is not limited to trading, with Wurster discussing working with bank consortia on stablecoins while exploring Schwab's own path.