Photo Credit To Pavlos Giorkas Via Flickr
On January 31, Fidelity Digital Assets, which is a company created by Fidelity Investments announced that they were doing final tests for their crypto custody platform. At the time, the company announced that they had continued to improve the platform’s capabilities for trading, securing, and supporting crypto with the oversight required by institutional-grade investors. They added that they were serving select clients as they continued to build their solutions. Additionally, they said that they had created standards at a level that investors with Fidelity had come to expect. With time, more institutions will be eligible to use the platform.
The Crypto Custody Platform Will Launch Soon
Fidelity Digital Assets confirmed that this platform is ready for launch. It had initially been speculated that the custody solution would launch in March. This speculation was based on a report by Bloomberg, which said the company wanted to target major investors with this custody. However, Fidelity has never given an exact date for the launch of the platform. Besides that, they have not commented on which crypto coins are going to be supported. The company made it clear that the solution would focus on institutional investors who need a platform to secure and trade crypto.
Robust Operational and Technical Standards
Fidelity said that the platform is based on robust operational and technical standards to meet the expectation of institutional investors. They said that after consulting with various institutions, they had concluded that there was a need to create a secure platform for crypto investment.
The trading and custody solution is already working for a few investors. The platform plans to add even more investors later. Fidelity said that they would offer clients the clarity they needed to join the crypto investment world. The company noted that Bitcoin was not the first digital cash in the world. However, its transformative potential is something that they respected.
It will make it easier for Large Investors to Join the Crypto World
Large investors have been reluctant to enter the crypto trading world. However, this platform could make large investors more willing to join the platform. Major investors are more likely to trust their cash with a large company than a small startup. Fidelity is a major investment firm that serves over 13,000 clients.
Various other developments are taking place in the crypto world. For instance, Wyoming introduced a bill in January 2019 that would allow banks to maintain custody of crypto. The bill proposed that the banks should get a license from the SEC. Additionally; the bill suggested that financial firms that offer the service would act as an investment adviser, broker-dealer, or investment firm.
About Financial Digital Assets
Fidelity Investments, a company that manages over $7.2 trillion in assets form clients, created fidelity Digital Assets. The company offers enterprise-grade custody and trade execution for the crypto market. Its clients include family offices, hedge funds, and market intermediaries, which are all high net-worth investors.