Swyftx co-CEO Ryan Parsons indicated that the company’s long-term goals are to look into ways to provide trading between traditional and crypto asset classes.
Swyftx, an Australian crypto exchange, hopes to offer seamless trading between traditional and crypto assets in the future, with the conclusion of its $1.5 billion merger with online investment platform Superhero as the first step.
The deal to unite the two was announced on June 8, and the resulting business will be Australia’s first to offer both decentralized and traditional finance.
One of Swyftx’s long-term ambitions, according to co-CEO Ryan Parsons, is to investigate “more interoperability amongst asset classes.”
“Imagine users exchanging Bitcoin or other digital assets for shares in publicly traded firms like Tesla, and vice versa.”
The company’s first objective, according to Parsons, will be to engage with regulators to provide sufficient client protections:
“However, it’s critical to emphasize that we’re going through all regulatory obligations in an already rapidly changing regulatory context.” We’re quite interested in making sure that anything we do is done correctly and that customers are protected.”
“But it’s important to be clear that we’re working through all the regulatory requirements in what is already a quickly evolving regulatory landscape. We’re extremely keen to ensure that whatever we do, is done properly with appropriate customer protections in place.”
While the merger news appeared to come without any prior warning, Parsons said it was “no surprise” that a number of equity trading platforms have been looking to offer crypto trading and vice versa, and that discussions with Superhero about a merger had been underway for several months prior:
“The two teams have been actively talking for a few months, with the merger following out of initial discussions around the potential for a crypto-equities partnership opportunity. It just made more sense to join forces than to be partners.”
Co-founded by Alex Harper and Angus Goldman in 2018, Swyftx is an Australian crypto exchange, offering 320 digital currencies and crypto interest-earning products.
In 2021, the company’s exchange had a golden year, with over 600,000 individual and corporate investors, up about 1,200 percent from the previous year.
Superhero, an internet broker, was created the same year but did not begin operations until late 2020. Over the previous year, the firm has increased its investor base by more than 600 percent to over 200,000, allowing customers to trade Australian and US stocks as well as manage their Superhero superannuation (Australia’s version of 401K), a feature that was launched in July 2021.
Swyftx said in a statement on June 8 that when the merger is finalized in mid-2023, the combined client base would be 800,000.
Customers will be able to trade and invest in cryptocurrencies, stocks, and superannuation on the unified platform. Later, Parisons stated that the company intends to expand its product offerings, which could include banking-related services or other typical financial products and services.
Swyftx co-founder Alex Harper and current Swyftx CEO Ryan Parsons will become co-CEOs of the combined organization following the merger. John Winters will lead the company’s traditional financial services division and join the board of directors.
A Closer Examination of the Merger
Swyftx, Australia’s top-rated digital assets exchange, boosted its investor base by about 1,200 percent last year and now offers over 320 digital currencies and crypto interest-earning features.
Alex Harper and Angus Goldman co-founded the company in 2018, and it already has over 600,000 retail and corporate investors on its platform.
Superhero is an Australian-owned and operated platform that offers its customers access to share in trading and a super fund. Customers can trade over 2,500 ASX-listed firms and ETFs for A$5 brokerage fees and over 4,500 US stocks and ETFs for US$0 brokerage fees on its platform.
With offices in Brisbane, Sydney, London, and Vancouver, the united company will assist 800,000 investors across New Zealand and Australia. In August of 2021, Swyftx expanded its operations to New Zealand. Swyftx believes the merger will be completed in early FY23, and that once it is, clients will have access to:
- a single login for both platforms;
- one customer service group; and
- Cryptocurrencies, stocks, and superannuation are all tracked and managed on one platform.