Fidelity Investments, one of the largest asset managers in the world, has made a big bet on Bitcoin and cryptocurrency by launching Fidelity Crypto, a dedicated investment platform catering to cryptocurrencies.
Fidelity Digital Assets to spearhead the new platform
The new platform will be spearheaded by Fidelity Digital Assets, the firm’s specialized arm for managing digital assets.
The move by Fidelity Investments represents a significant milestone in the mainstream adoption of cryptocurrencies, according to Peter Brandt, an experienced analyst who drew attention to this development today.
The new crypto platform is offered by Fidelity Digital Assets, a platform that provides industry-leading solutions in the securing and trading of digital assets.
The platform aims to offer institution-level security and services that Fidelity Digital Assets has provided since 2018, allowing users to trade and secure Bitcoin and Ethereum with as little as $1.
The platform will also provide investors with exposure to cryptocurrencies, enabling them to invest in their preferred digital assets. Initially, the new platform will support only Bitcoin (BTC) and Ethereum (ETH) upon its launch. However, the platform is evaluating additional cryptocurrencies to expand trading opportunities over time.
At launch, Fidelity Crypto will be integrated into the award-winning mobile app of the company, which will enable users to have all their traditional and crypto investments in one place.
Moreover, the platform will only be accessible to U.S. citizens residing in 36 states within the country, including New York, Alabama, and Washington.
The company has already created an early-access list for interested parties, which will provide updates and educational content. Once on the early-access list, users will be the first to receive Fidelity Crypto updates and education sent to their inboxes.
The company’s push into cryptocurrency comes as more traditional financial institutions are beginning to recognize the value of digital assets. The company has established a reputation as one of the most crypto-friendly institutions in the U.S. and has been making notable moves to penetrate the crypto space.
Fidelity is not new to the cryptocurrency space. The company procured an operating license from Canadian authorities two years back to launch a crypto-focused custodian service in the country.
The platform also offers commission-free trading services for its clients, but these offerings are limited to Bitcoin and Ethereum alone.
In November last year, the company hinted at expanding its crypto offerings to accommodate other assets such as Shiba Inu (SHIB).
The financial service provider has also been vocal about the recent surge in crypto adoption, highlighting the increasing attention and engagement from various entities, including federal governments.
The United States, for example, has been actively exploring the viability of introducing a Central Bank Digital Currency (CBDC). Fidelity has outlined that the main objective of the new Crypto platform is to provide investors with exposure to cryptocurrencies, enabling them to invest in their preferred digital assets for as little as $1.
Fidelity’s entry into the cryptocurrency space is a clear indication that the digital assets market is evolving into a legitimate asset class that requires the attention of mainstream financial institutions.