The rise of cryptocurrencies is poised to disrupt global financial systems, bringing financial autonomy to individuals, according to Joshua Blew, the founder of Normal, a Chicago-based cryptocurrency trading platform. Blew, originally from Rayton, envisions a world where individuals can easily access the best tools and own the right assets, offering them unprecedented financial freedom. However, navigating this landscape amid the dominance of large financial institutions poses significant challenges.
Normal aims to address these hurdles by creating a user-friendly platform that mimics the simplicity and structure of exchange-traded funds (ETFs) while offering a broader array of cryptocurrency options. Since its inception three years ago, the platform has assisted more than 100 investors from seven countries, helping them diversify $200,000 into cryptocurrencies while saving over $5,000 in trading fees. Blew emphasizes that keeping the investor in control of their assets is a central strategy of Normal.
Empowering Investors Through Asset Control
Blew highlighted the differences between Normal’s model and that of traditional financial giants like BlackRock, which have recently started to include cryptocurrencies in their offerings. These established institutions typically offer access to a limited selection of cryptocurrencies, such as Bitcoin and Ethereum, and investors often do not own the actual coins themselves. Instead, investors own a financial product created by the institution, such as shares in an ETF.
Normal, on the other hand, allows its users to retain ownership of the coins they invest in. The platform also offers a much wider selection of cryptocurrencies—more than 200 in total—allowing users to diversify their portfolios beyond the most popular options. By keeping the ownership of assets with the investors, Normal provides a more flexible and empowering approach to cryptocurrency trading.
Blew explained that Normal’s structure also offers global investors an advantage. Unlike traditional financial firms that spend millions on legal fees and years developing their products, Normal’s approach allows for more agile and cost-effective operations. This enables Normal to bypass some of the barriers that larger institutions face, making its services more accessible to a broader audience.
Self-Custody and 24/7 Trading Flexibility
One of the key features that set Normal apart from institutional cryptocurrency ETFs is its focus on self-custody. Blew emphasized that in traditional models, custodians such as Coinbase or Gemini hold the assets on behalf of the investors. Normal, however, gives users direct control over their assets, allowing them to move their cryptocurrencies into a wallet or ownership structure of their choice. This self-custody model enhances security and gives investors the freedom to manage their assets according to their needs.
Additionally, Normal offers the flexibility of 24/7 trading, unlike traditional stock markets that operate within limited hours. Investors using Normal can trade their cryptocurrencies at any time, providing a level of convenience and control that is not typically available with traditional financial products.
Exploring Passive Income Opportunities
Normal is also working on expanding its platform to include opportunities for generating passive income through cryptocurrency. Blew explained that investors will soon be able to lend out their crypto to lending networks on the blockchain or stake it to earn interest. These features, which are expected to launch in the near future, will allow users to earn passive income on their cryptocurrency holdings.
The startup’s interest-earning opportunities aim to provide investors with additional ways to grow their assets, further enhancing the platform’s appeal. Blew envisions Normal as a comprehensive platform that not only facilitates cryptocurrency trading but also offers various ways for investors to generate returns on their assets.
Building a Reputation for Transparency
Normal is also seeking to establish itself as a Registered Investment Advisor (RIA), a status that Blew believes will further strengthen the platform’s transparency and credibility. Achieving RIA status would position Normal as a trusted advisor in the cryptocurrency space, emphasizing its commitment to transparency and investor protection.
Blew’s interest in finance and technology dates back to his teenage years. By the age of 16, he had taught himself to code and was already trading penny stocks. By 2020, while still a student at DePaul University, he was working full-time as a lead software engineer for a banking UX startup called Finotta. His background in coding and experience in the financial sector ultimately led him to Bitcoin and the broader world of cryptocurrency, setting the stage for the creation of Normal.
A Vision for Decentralization
Blew’s former teacher, Tom Woodward, recalled recognizing Blew’s unique talents early on. Woodward noted that Blew’s ability to combine his interests in both computer science and finance set him apart from his peers. He also praised Blew’s strong moral compass, which has guided him through the challenges and scandals in the cryptocurrency industry, such as the Sam Bankman-Fried fraud scandal.
Experts like Dr. Alex Cahana, a venture partner at Impact Rooms, believe that startups like Normal have the potential to reshape the economy, particularly in areas where traditional financial institutions have been slow to evolve. Cahana is an advocate for decentralization, particularly in finance and healthcare, and envisions a future where individuals act as their own banks. He believes that platforms like Normal, which promote direct ownership and control of assets, are moving closer to this ideal.
However, Cahana stressed the importance of individual responsibility in this new financial landscape. He explained that navigating the world of cryptocurrency requires investors to do their own research and understand the underlying mechanisms of the platforms they use. He likened it to reading the ingredients on a product label to determine its true quality. For those willing to put in the effort, platforms like Normal offer a promising alternative to traditional financial institutions.
Conclusion: Normal’s Path to Revolutionizing Finance
Normal is positioned to challenge traditional financial models by offering a platform that prioritizes investor control, transparency, and flexibility. Through its self-custody model, broad cryptocurrency offerings, and upcoming passive income features, Normal provides investors with a range of tools to navigate the evolving cryptocurrency landscape. As it continues to grow, Normal could become a key player in the decentralization movement, offering a more inclusive and accessible approach to finance.