Fidelity expands to answer the demand for cryptocurrencies

Fidelity wants to expand its staff to meet the growing demand for cryptocurrencies.

This was revealed by Bloomberg quoting the words of the president of Fidelity Digital Assets Tom Jessop 

According to reports, Fidelity could increase the staff by at least 100 units divided between Dublin, Boston and Salt Lake City. 

Newcomers are expected to help develop new products related to cryptocurrencies, as well as bitcoin. 

In fact, at the moment Fidelity only deals with offering trading, custody and other services related to bitcoin. But the growing demand for cryptocurrencies, coupled with bitcoin’s records reaching $ 65,000, and Ethereum at $ 4,300, have increased interest in the sector. An interest certainly also sharpened by the pandemic. Tom Jessop said:

“We have seen increased interest in Ether, so we want to be ahead of that question.”

Fidelity’s cryptocurrency services

At the moment, Fidelity Digital Assets is mainly aimed at institutional investors. In partnership with Block Fi, it allows the purchase of bitcoins with cash collateral. But the time has come to broaden horizons also on Ethereum. Also because Fidelity’s clients are hedge funds, financial advisors and companies that want to keep cryptocurrencies on their balance sheets.

For the president of Fidelity: 

“Bitcoin has been the gateway to a lot of institutions. Now a window is really opening into what is happening in space ”.

In fact, the growing demand from institutional investors makes the difference between the current bitcoin rally and the previous ones For this reason, there are those who hypothesize that even the current drop in the price that has led BTC to halve compared to the April records, is not a drama. It is no coincidence that there is talk of a “milder” crypto winter . 

But as in previous rallies, bitcoin also trailed altcoins, which outperformed BTC. Like Ether, which is attracting more and more institutional investors. It is no coincidence that Ethereum ETFs are also starting to be launched. As it is no coincidence that Grayscale has trusts not only in bitcoin but also in altcoins, allowing its customers to expose themselves to other cryptocurrencies as well.

Fidelity is intercepting these needs and for this reason it wants to expand by becoming more and more focused on cryptocurrency services for institutional clients.

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