Fidelity Digital Assets, a division under the world’s 5th biggest asset manager Fidelity Investments, is maintaining steady progress in allocating custody services and bitcoin trading to large US financial institutions, including pensions, endowments, family offices, and hedge funds. On March 7th, the company announced that they are going live with a select number of eligible clients.
Fidelity Brings Institutional Access
The Fidelity Investments is a leading financial services firm that has approximately $2.5 trillion assets under its name. Fidelity Digital Assets, it’s division, was created after the giant firm decided to experiment with cryptocurrencies and blockchain. They noticed the growing interest of big financial institutions on trading and cryptocurrency custody, so a division that primarily focuses on this matter was built in October 2018.
Institutions Request a Trusted Digital Asset Platform
As stated by Fidelity Digital Assets on their announcement last January 31st, they have been working on their operational and technical capabilities to secure, trade and support digital assets with the correct oversight needed by investors. Since many institutions expressed their interest on a trusted platform to engage with bitcoin and other cryptocurrencies, the company decided to provide “custody platform and trading venue” which focuses primarily on security and market access.
The company announced on March 7th that they are finally going live, but they also said that they’re still working on other aspects of the platform. One of the challenges Fidelity Digital Assets is trying to solve are issues concerning institutional cryptocurrency custody. The company believes that addressing these custody issues is one vital step to make these markets continue to develop.