M1 Finance

M1 Finance to Roll Out Crypto Trading Accounts

  • M1 Finance intends to offer its users the chance to expand their portfolios and invest in cryptocurrencies.
  • Trade volumes on most platforms have dropped due to the bear market, as investors are seeking ways to cut their losses.

American financial services provider, M1 Finance, has announced plans to dive into the crypto market by launching trading services and opening crypto trading accounts in the coming weeks. The platform, which was founded in 2015, provides commission-free trading on stocks and exchange-traded funds in addition to offering retirement accounts.

While several investors are staying away from the crypto space due to the bear market, M1 Finance said it was driven by demand to launch crypto trading accounts. The brokerage firm’s CEO, Brian Barnes, said in a blog post that M1 had received multiple offers from people wanting to invest in crypto assets through the firm.

M1 users will be able to invest in their personalized crypto portfolio in the coming weeks, and Brian noted that this is a chance for users to invest their funds in the way they deem fit, with reduced cost and easy access. Brian highlighted the core principles which drive M1’s crypto product which are prioritizing investment over trading and maintaining a diversified portfolio.

The blog post read,

The crypto market is still young and volatile; Bitcoin emerged just 13 years ago. Cryptocurrencies are a roughly trillion-dollar asset class that over 20% of Americans have invested in, traded, or used. It has been the most requested asset addition, with roughly half of our surveyed users wanting to use M1 to invest in crypto. Adding it to the platform gives you the choice to make this burgeoning asset class a part of your long-term investment strategy, if it matches your risk tolerance and long-term perspective.

Since July 11, all M1 clients have been able to explore crypto research and those with funded accounts can request early access so as to build crypto Pies in preparation for the release of the investment feature. Pie-based investing is one of M1 Finance’s core services. Pies essentially enable users to establish a portfolio of “Pies” in which each asset and its exposure rate is displayed as a slice on a Pie graph.  

M1 Finance will first offer a total of eleven cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), and other large-cap liquid crypto assets. The firm said it will gradually broaden its product selection and offer commission-free cryptocurrency trading to compete with companies like Robinhood.

Speaking of how crypto can be a good investment for users, Brian wrote,

As an informed investor, it’s important to know that crypto can be a viable option to diversify your portfolio, explore alternative investments, and invest in emerging technology.

Brian added that M1 is interested in seeing how their clients opt to include Crypto Accounts in their portfolios. Users will soon be able to invest money in cryptocurrencies based on their level of risk tolerance and use automation to guarantee that goals are met. For the time being, M1 Finance said it intends to gather feedback and keep working to deliver a comprehensive financial solution for its community.

Lawrence Woriji Verified

Lawrence has covered some exciting stories in his career as a journalist, he finds blockchain-related stories very intriguing. He believes Web3 will change the world and wants everyone to be a part of it.

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