China’s Futu and Tiger Brokers are seeking a Singapore and U.S license to avail trading in digital tokens, according to CNBC. The companies, set to rival stock trading app Robinhood, target overseas expansion in the move.
Futu and Tiger moves happen when China has intensified scrutiny and crackdown on digital tokens.
Futu expects to offer crypto-related products towards the end of this year and has gained 100,000 Singapore clients in about three months.
Futu had 789,652 active customers by the end of March, more than three times that of a year ago, while Tiger more than doubled its customers in the quarter to 376,000.
Futu and Tiger will face competition from Robinhood and other traditional players including Interactive Brokers in their global expansion.
Robinhood, which started in early 2018 has increased its customers by 3 million for its crypto business each month on growing popularity of digital assets.
Futu and Tiger will seek to compete by using in-app social networks to allow users share trading ideas and access information.
Both companies were added to the MSCI stock indexes last week.
Futu and Tigers stocks are currently gaining. FUTU: NASDAQ is up 2.90% on premarket, TIGR: NASDAQ is up 2.68% on premarket.
