Fidelity Digital Assets Ether support coming in 2020

Fidelity Digital Assets Ether support coming in

Fidelity Digital Assets Ether support is finally here! Fidelity Digital Assets (FDA) will start Ether (ETH) support next year after analyzing that there is sufficient demand for the pair. Fidelity, a financial services company based in the United States, is leading the wave of change that will support the cryptocurrency developments in the US.

FDA’s president Tom Jessop said that the firm is dedicated to adding more coins to the platform in a bid to diversify the offerings. He further said that Fidelity Digital Assets Ether support had been added after taking detailed review and studies into consideration. The rising demand for Ether (ETH) is a significant reason to add its support for the clients.

Fidelity Digital Assets Ether support will be for institutional clients

Large scale cryptocurrency adoption requires many fundamental changes to the crypto premise. The primary challenges to the institutional adoption of crypto are lack of regulatory compliances, cryptocurrency laws, price volatility and no historical track record of the cryptocurrencies. Over time, these problems will be sorted, and institutional players will jump in on the bandwagon thereby expanding the crypto space.

Tom Jessop says that investors need to be reassured that the assets in question will exist tomorrow. The highly volatile cryptocurrencies are prone to lose their valuation within no time, prompting the investors to steer clear of such digital assets. Moreover, they have no historical context which they can link to them making them susceptible to fear-mongering.

Fidelity now offers more to big-ticket investors

With Fidelity Digital Assets Ether support, the platform will be more lucrative for its investors. The cryptocurrency trading arm of Fidelity now offers a limited range of products. However, the platform is closed to retail investors, and only a handful of institutional clients have access. The primary focus remains on pension funds, hedge funds, endowments, and big-ticket investors.

The company does not cater to retail clients because they do not want to expose their clients to the risky volatility associated with cryptocurrencies. Institutional clients have more chances of surviving these bumpy markets. Institutional adoption of Bitcoin is increasing and Ether does not want to be left behind. Ether Futures are considered as the next big step in cryptocurrency adoption.

Image Source: Pixabay

[wp-faq-schema title="FAQs" accordion=1]
Gurpreet Thind

Gurpreet Thind

Gurpreet Thind is pursuing Masters in Electrical Engineering at University of Ottawa. His scholarly interests include IT, computer languages and cryptocurrencies. With a special interest in blockchain powered architectures, he seeks to explore the societal impact of digital currencies as finance of the future. He is passionate about learning new languages, cultures and social media.

Related News

Hot Stories

Can the Web3 market hit $80 billion by 2030?
Solana price analysis: SOL declines in value to $33.7 after strong bearish trend
Contentos Vietnamese blockchain community launches NFT collection with the support of Contentos Foundation
NEO Price Prediction 2022-2031: Is it Good to Invest in NEO now?
HBAR Price Prediction 2022-2031: Hedera Hashgraph Soon to Retest its ATH?

Follow Us

Industry News

Can the Web3 market hit $80 billion by 2030?
NiceHash Launches First Solo Mining Hashpower Exchange Service to Help Struggling Crypto Miners
US Job openings fall by 6.2% - What does this mean for the crypto market?
Here are all the Three Arrows Capital NFT collection details on the verge of liquidation
Did authorities freeze Do Kwon's assets?