Following a big funding round from Valar Ventures, Bitpanda is rolling out the new service to widen its remit beyond its crypto origins.
Bitpanda, which reached unicorn status at a $1.2bn valuation last month after a $170m fundraise, started life seven years ago offering access to crypto assets but is expanding its offering to customers with fractional shares. It says trading will be allowed around the clock with a €1 minimum amount, no commission and “tight spreads”, even outside of trading hours.
Eric Demuth (pictured), Bitpanda CEO and co-founder commented: “We founded the company on the idea that everyone would have the same access to the financial world. Investing should be simple, accessible and available to everyone - and that’s what Bitpanda Stocks is about."
“Historically, the financial system has been too complex and too restrictive. We want everyone to be able to access and manage their portfolios at a time that suits them, not the market.”
The new service comes via a partnership with BNP Paribas who is providing custody services.
As Bitpanda’s custody bank partner, BNP Paribas backs the regulated derivative product that provides the exposure to stocks and ETFs.
This derivative structure also powers a novel feature in the world of fintech neobroking which is rapidly gaining popularity. The ability to spend assets held in real-time. Bitpanda recently launched a spending card that can be linked to an asset and then used to pay for purchases.
“Fractional investing is such an important part of this product. If users want to access tech giants or blue chips, they shouldn’t be prevented from doing so due to a lack of capital. Our platform means that anyone can access and invest in digital assets, including the companies and sectors that they really believe in – without barriers. It’s Wall Street without the walls, even when Wall Street closes,” Demuth said.