Fidelity Investments Inc., a Boston-based financial services company, announced Tuesday that Bitcoin has become a primary focus of the company’s digital asset division.
In a recent interview with the Boston Globe, Fidelity’s head of sales and marketing Christine Sandler stated that 90% of the firm’s largest customers had inquired about bitcoin and that the firm is currently exploring retail opportunities.
Founded in the 1940s, the corporation currently manages $10.4 trillion in assets. Apart from this, Fidelity Investments has been preparing the framework for nearly six years to become a crypto space powerhouse. Devonshire Investors, the firm’s venture capital arm, has invested in a number of promising firms, including Boston-based Coin Metrics, ErisX, and Talos. Fidelity establishes the foundation for a long-term engagement with cryptocurrency.
While the crypto industry experiences periodic bursts of excitement surrounding freshly developed cryptocurrencies, the market behemoth stays concentrated on Bitcoin (BTC). Sandler responded by noting that Fidelity is primarily focused on traditional investors and that bitcoin is viewed as a primary entry point into the crypto world. She continues,
“The world’s interest in ethereum has also grown in recent months, but it is nothing close to what we see in bitcoin.”
According to the Boston Globe, Fidelity’s digital asset business unit head Tom Jessop views Bitcoin as a legitimate asset class and plans to build a fresh new and long-term financial infrastructure around it. Additionally, when asked about the platform’s integration of altcoins, Jessup stated, “I don’t believe we will ever be the most comprehensive service provider in terms of asset coverage.”
Fidelity intends to expand its presence in the cryptocurrency market.
For a longer period of time, the corporation has sought to extend its presence in the cryptocurrency industry. Among the numerous moves, the company has made recently is seeking Bitcoin ETF clearance. Fidelity, like many other financial organizations, petitioned for a Bitcoin ETF in March 2021. The approval, however, is still waiting.
Another recent acquisition, as reported by CoinGape, was a 7.4 percent interest in publicly traded Bitcoin mining company Marathon Digital Holdings. Forbes estimates that the share is worth approximately $20 million. Additionally, the company has been mining Bitcoin since 2015. While the size of Fidelity’s bitcoin mining business is undisclosed, it is said to be small but profitable.
Also Read: Iris Energy Files To Go Public
Wallets