Citadel Securities-Backed Crypto Exchange Drops Paxos as Partner

EDX Markets, a recently launched crypto exchange backed by firms including Citadel Securities, Fidelity Digital Assets and Charles Schwab Corp., has dropped its plan to use Paxos as a custodian and is now in final talks with Anchorage Digital about a new partnership, according to people familiar with the matter.

EDX Markets’ earlier pact with Paxos, a blockchain company known for issuing a Binance-branded stablecoin, is no longer active, the people said. That partnership, announced last October, would have directed the exchange’s clients to Paxos for custody of crypto assets and allowed Paxos customers direct access to EDX.

On ...