OANDA’s prop trading arm, OANDA Prop Trader, has enhanced its service by enabling traders to pay for its challenges with cryptocurrencies, Finance Magnates learned exclusively. It will now support payment with about two dozen cryptocurrencies, including stablecoins.

Stablecoins to Meme Tokens

The newly supported payment mode includes top cryptocurrencies and stablecoins like Bitcoin, Ethereum, Litecoin, Binance Coin, TUSD, USDC, and USDT. Further, traders can also pay for their challenges using meme coins like DOGE and SHIB.

“We're pleased to announce that we're adding crypto as a payment method in response to rising global demand,” said Lucian Laureman, Head of Digital Assets and Deputy COO at OANDA.

“A large number of 'tech-driven consumers' in the countries serviced by OANDA Prop Trader are embracing cryptocurrencies, so this is opening new doors for those traders who want to maximise the digital economy as a gateway into prop trading.”

A Brokerage Brand in Prop Trading

OANDA jumped into the prop trading business earlier this year. Although initially, it launched the services under the brand OANDA Labs Trader, it quietly changed the branding to OANDA Prop Trader to better resonate with the proffered services.

Clarifying its business model, OANDA detailed that the qualified traders on the prop trading platform will be technically treated as signal providers. The proprietary trading models of OANDA will use the signals produced by the traders “in combination with other input variables to guide OANDA's market positioning decisions.”

It further detailed that the capital provided to the funded accounts is virtual; however, it will put the company’s proprietary capital at risk because real market positions will be taken based on the signals from the traders.

Apart from OANDA, several other retail brokerages have also entered prop trading. While Trade.com and Traders Trust were the latest entrants, Axi and Hantech were among the first to make their debut in the growing market. Finance Magnates recently reported that FX industry veteran Joshua Dentrinos partly acquired prop trading brand Funded Peaks.

Earlier, OANDA's Head of Emerging Markets also told Finance Magnates in an interview that "the prop firm industry has the potential to outgrow the traditional FX/CFD industry because it is more accessible, has lower barriers to entry, such as upfront fixed fees, and involves limited downside risk."