key takeaways
- Fidelity plans to provide custody and trading services for Ethereum.
- Its digital assets subsidiary is hiring more than 200 people to build the infrastructure needed to provide secure exposure to the Ethereum network.
- The statement comes a month after Fidelity Investments announced that they would be offering investors the option to allocate up to 20% of their retirement plans in bitcoin.
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Ethereum will soon be available through one of the largest asset management companies in the world.
long term indicators
According to a new report, Fidelity is planning to offer services for the custody and trading of Ethereum (ETH) and other cryptocurrencies. wall street journal,
Report Having said That Fidelity Digital Asset Services LLC, a Fidelity Investments subsidiary, was looking to hire 110 technical staff with blockchain expertise, including developers and engineers, and 100 customer-service experts. These new employees are expected to help build the necessary infrastructure to support Ethereum services.
Fidelity Investments is an American company and the fourth largest asset manager worldwide, with over $4.5 trillion in assets under management. Fidelity Digital Assets was founded in 2018 to provide custody and trading services for bitcoin.
Fidelity Digital Assets will move platform data and applications to the cloud to provide faster transactions, 24/7 trading support, and institutional-grade security. The organization will also build compliance and tax-reporting tools.
Asked to comment on the recent market drop due to the collapse of the Terra Protocol, Tom Jessup, President of Fidelity Digital Assets, told WSJ That they were trying to “focus on some long-term indicators”, such as customer demand. “We are trying to build the infrastructure for the future because we measure success over years and decades, not weeks and months,” Jessop continued.
The report comes a month after Fidelity Investments announced They will offer investors the option to include bitcoin in their 401(k) retirement accounts, with a maximum allocation of 20%. the plan was Had a meeting With skepticism from the US Department of Labor, which warned of the speculative nature and regulatory risks associated with bitcoin. Fidelity responded by noting the rapid demand growth for digital asset exposure across various demographics.
Disclosure: At the time of writing, the author of this article owns ETH and several other cryptocurrencies.