{"id":353941,"date":"2018-10-15T20:30:22","date_gmt":"2018-10-15T20:30:22","guid":{"rendered":"https:\/\/uniquehot.com\/?p=353941"},"modified":"2019-03-11T20:53:45","modified_gmt":"2019-03-11T20:53:45","slug":"fidelity-becomes-first-wall-street-firm-to-launch-crypto-branch-trading-desk","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/fidelity-becomes-first-wall-street-firm-to-launch-crypto-branch-trading-desk\/","title":{"rendered":"Fidelity Becomes First Wall Street Firm to Launch Crypto Branch Trading Desk"},"content":{"rendered":"
Fidelity Investments has announced that it\u2019s launching a new cryptocurrency trading arm, called Fidelity Digital Asset Services, that will handle cryptocurrency custody and trading for its customers.<\/span><\/p>\n Today, Boston-based asset manager responsible for $7.2 trillion in customer assets, Fidelity Investments, revealed<\/a> a separate new branch focusing on cryptocurrencies like Bitcoin and Ethereum called Fidelity Digital Asset Services.\u00a0<\/span><\/p>\n The new subsidiary is the first-of-its-kind among traditional Wall Street firms, and will offer both asset custody and trade execution for institutional investors.<\/span><\/p>\n Fidelity Digital Assets will allow institutional\u00a0investors to trade cryptocurrencies across multiple exchanges that comply with the “Fidelity standard” using its existing internal crossing engine and smart order routing, but stopped short at revealing which exchanges have earned that seal of approval. <\/span><\/p>\n Fidelity\u2019s onboarding procedures for counterparties involves a deep dive into an exchange\u2019s regulatory procedures and financial strength, among other analysis.<\/span><\/p>\n “We are certainly only going to connect to those counterparties that we feel good about,\u201d explained Tom Jessop, head of Fidelity Digital Assets.<\/span><\/p>\n<\/blockquote>\n In addition to executing trades for its customers, the new crypto branch will also offer an offline, vaulted cold storage custody solution, that when paired with Fidelity\u2019s traditional security standards, could become the missing link that finally lures institutional investors into the cryptocurrency market.<\/span><\/p>\n The lack of both a well-known traditional name entering the space and strong custody solution have long been cited as the two key reasons institutional investors have been hesitant to enter the space. <\/span><\/p>\n “We saw that there were certain things institutions needed that only a firm like Fidelity could provide,\u201d Jessop explained.\u00a0<\/span><\/p>\n The new subsidiary head added that its already working with 13,000 institutional customers.<\/span><\/p>\n Fidelity Investments chief executive officer and chairman Abigail Johnson stayed true to her promise that the firm would unveil its cryptocurrency product before the year\u2019s end<\/span><\/a>, adding that Fidelity\u2019s goal “is to make digitally native assets, such as bitcoin, more accessible to investors.”<\/span><\/p>\nFidelity Investments Announces Fidelity Digital Asset Services<\/span><\/h2>\n
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Fidelity Becomes First Wall Street Firm with Crypto Desk<\/h2>\n