Bitcoin Crash Adds Pressure on SoFi Stock as Fintech Investors Face Double Whammy

SoFi Technologies offered crypto trading services in 2019 but stopped processing crypto orders in December 2023. On 11 November 2025, the one-stop shop for digital financial services relaunched crypto trading. The timing might not be the best for the fintech stock as Bitcoin is in freefall this month.

According to some news reports, Bitcoin has lost an estimated $800 billion in value since topping $123,500 in early October. Meanwhile, SoFi boasts that it is the first and only nationally chartered bank where consumers can bank, borrow, invest, and now trade cryptocurrencies, especially BTC.

Investors might lose interest in the fintech given its new exposure to crypto trading. SoFi is one of the top-performing Nasdaq constituents with its 63.57% year-to-date gain. While SoFi is a bank and lender first and foremost, Bitcoin's extreme volatility could impact the stock. It has already lost 10.7% over the last 10 trading days.

Safer Place to Hold Cryptos

SoFi is a Federal Deposit Insurance Corporation-insured bank. Crypto investors, both first-timers and experienced, will feel secure buying, selling, or holding cryptos with a licensed bank than with a primary crypto exchange.

Anthony Noto, CEO of SoFi, said the relaunch of crypto trading services is a pivotal moment. Banking meets crypto in one app, he describes it. They will trade on a platform with bank-grade stability and security.

Noto adds that SoFi's near-term plan is to introduce a USD stablecoin and integrate crypto into its lending and infrastructure services. The objectives are to unlock lower-cost borrowing, facilitate payments, and empower clients and members with new embedded financial capabilities.

Investment Risk

In July 2025, the US Federal Reserve, the Office of the Comptroller of the Currency (OCC), and the FDIC issued a joint statement providing regulatory expectations for US banks holding crypto-assets for customers. Banks are reminded to prioritize crypto-asset safekeeping.

While the FDIC and OCC aim to allow for greater crypto inclusion in the financial ecosystem, banks must comply with applicable laws and regulations, including anti-money laundering and counter-terrorism rules.

One important thing to remember is that non-deposit products such as stocks, bonds, money market mutual funds, securities, commodities, and crypto assets are not covered by FDIC deposit insurance. Bitcoin, Ethereum, and other cryptos are digital assets, not deposits.

SoFi offers crypto trading, but digital assets are not FDIC-insured. The FDIC will not reimburse investors in case the crypto platform fails or they fall victim to hackers.

Insulation From Bitcoin's Volatility

When Noto said that SoFi's mission is to help its members get their money right, cryptos are included in the business mix. SoFi's CEO is extremely confident that in 2026 and beyond, SoFi will uniquely start to benefit from both of the technology super cycles in AI and blockchain. He said almost every other industry benefits from only one.

He added that given the 13 million members, business scale of $38 billion (£29B)annualized revenue, and a balance sheet strength of $45 billion, SoFi has a rock-solid foundation to build on. Members have direct access to different tokens directly in the SoFi app.

The comfort to fintech investors is that the SoFi stock is relatively insulated from Bitcoin's freefall. Lending is the core business, and it originated $3.4 billion of loans in the third quarter of 2025 alone.

Disclaimer: Our digital media content is for informational purposes only and does not constitute investment advice. Please conduct your own analysis or seek professional guidance before investing. Remember, investments are subject to market risks, and past performance does not guarantee future results.