Fidelity Investments is a US financial services company headquartered in Boston. The company has a broad base and is one of the largest asset managers in the world with $ 7.2 trillion of assets under its management. Fidelity is currently evaluating whether it will offer the five to seven largest cryptocurrencies on its platform.
Beyond Bitcoin and Ethereum?
In October, the company introduced its new subsidiary “Fidelity Digital Asset Services”. These offer trading services for Bitcoin and Ethereum for institutional investors. At the same time, it will provide investors with a long-awaited custody solution for these cryptocurrencies, Fidelity said.
This week, the conference “Block FS” took place in New York. Tom Jessop, head of Fidelity Digital Asset Services, said at the conference that Fidelity was ready to extend its service offering to other crypto currencies. Asked, he explained:
“I think there is a demand for the next four to five large cryptocurrencies on the list of largest cryptocurrencies by market cap. That's why we'll look at it. “
Regulation and low demand for small coins
For one of the potential difficulties, Jessop wondered which token the US Securities and Exchange Commission classifies as securities. This classification would have a significant impact on the usability of the affected coins. He noted that one waits for the development in this respect.He further said that there is not much demand from institutional investors for the lesser known cryptocurrencies. Fidelity will therefore focus on about the largest seven crypto currencies. But if demand is there, you can also think about getting other coins, Jessop said.
Fidelity and its more than 13,000 large investors
Currently, Jessop says, Fidelity has over 13,000 institutional clients and their main interest lies in the two leading crypto currencies, Bitcoin and Ethereum. In this context, it might be interesting to see if this interest will shift soon. Ripple XRP has been ranked second on the list of largest cryptocurrencies by market capitalization for more than two weeks. At the editorial deadline, Ethereum's lead was close to $ 3 billion, nearly the same as Stellar Lumens' total market capitalization (4th place).
Since August, Fidelity has offered its clients the exchange-traded bearer bond (ETN) “Bitcoin Tracker One”. It is the first fully regulated financial instrument directly linked to Bitcoin.
Crypto markets are relatively weak this year compared to 2017. Many market participants are therefore hoping for an entry of institutional investors. These big investors could use services and tools such as those offered by Fidelity to give new impetus to the courses.
Sources: CNBC, U.Today, Pixabay
Author: Peter Joost – Source Post: https://www.kryptovergleich.org/bitcoin-ethereum-ripple-xrp-bitcoin-cash-eos-stellar-bald-fuer-fidelity-kunden-handelbar/
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