Fidelity Investments is all set to launch their cryptocurrency trading and custody platform ‘The Digital Assets Exchange.’ The giant American financial service firm announced this news in October as a step towards diversifying into the digital assets industry.
Established since 1945, Fidelity Investments is offering a wide range of financial services related to wealth management and fund distribution. They are also known for their trustworthy investment advice.
The Rise of Fidelity Digital Assets
In a ‘medium’ blog published on January 31, Fidelity Investments mentioned that they are in the ‘final testing and refinement phase of the latest trading platform, which will be soon launched by their new company, Fidelity Digital Assets.
Right now, the financial service firm is working with a bunch of clients to help build the platform and lay the foundation for a long-term plan to provide crypto solutions to institutional investors.
In the popular blogging platform, Fidelity emphasizes the challenges of building the platform and how they arrived at the final testing stage. Have a look at the excerpt given below:
“It’s been a challenging and rewarding time here, from critical decisions on product direction, to the intensive work of our development teams. Our operations, risk, and compliance teams are actively working with auditors to refine our policies and procedures, adapt existing operational processes, and to set new benchmarks for this aspect of cryptographic and blockchain-based finance.”
Catching the Attention of Institutional Investors into the Crypto Market
Initially, in October 2018, when the giant investment firm and one of Wealth Management Firms announced its plans to launch Fidelity Digital Assets and the trading platform, it raised several eyeballs. Fidelity also spoke about how they were solely focusing on attracting institutional investors and how the platform would not be open to all.
As Fidelity’s prime focus is only on institutional financial markets, their exposure to the crypto-sphere was almost null until last year. However, when the cryptocurrency sector began to boom in 2017 and early 2018, it caught the attention of many investors interested in taking a chance on cryptocurrency.
In the pursuit of attracting more prospective institutional investors, Fidelity thought of creating their digital asset platform. In a recently published blog, Fidelity’s spokesperson alleged, “Our conversations with a variety of institutions have served to underscore their clear need for a trusted platform provider to engage with digital assets in a meaningful way.
Alongside being in the final stages of testing, the investment firm is also working together with crypto regulators to ensure the Fidelity Crypto Assets exchange is fully compliant. We will keep you up to date with the official launch date of the platform when we get more news.”