Fidelity anticipates increased demand for cryptoassets among investors despite the recent price pullback in the market.
- Fidelity Digital Assets will expand its crypto offering beyond Bitcoin.
- The efforts are aimed at meeting the growing demand from investors.
- Fidelity already offers a Bitcoin investment option a contract giving the buyer the right, but not the obligation, to buy or sell an underlying asset or instrument at a specified strike price. in 401(k) retirement accounts.
The asset management and pension fund giant, Fidelity Investmentsis preparing for the possibility of an increase in demand for cryptocurrency cryptocurrencies are digital currencies that use cryptographic technologies to secure their operation. products in the coming months.
Fidelity Digital digital technologies are these electronic tools that have the ability to generate, store or even process data. Assetsthe subsidiary ofFidelity Investments which provides institutional clients with trading and custody custody is a financial institution's legal capacity to keep and preserve financial assets for its clients to avoid asset theft or loss. services for Bitcoin the biggest and most popular cryptocurrency in the world. It is a decentralized digital currency that enables users to make trustless peer-to-peer transactions. said it plans to expand its cryptocurrency offerings and hire more staff dedicated to the financial technology in order to meet the growing demand for cryptoassets.
The subsidiary’s president, Top Jessop, previewed the plans in an interview forThe Wall Street Journal. According to the report,Fidelity Digital Assets plans to double its workforce with the recruitment of 110 technology workers . Entre ellos, ingenieros y desarrolladores con experiencia en Blockchain. The further intention is that the company will be able to expand its commercial offerings beyond Bitcoin .
Founded in 2018,Fidelity Digital Assets provides trade execution and corporate-grade custody services for digital assets to sophisticated institutional investors such as hedge funds, family offices and market an area or arena, online or offline, in which commercial dealings are conducted. intermediaries.
ETH offer and more crypto staff
Among the projects, the subsidiary ofFidelity said it plans to begin offering its customers trading and custody of Ethereum a decentralized open-source blockchain with smart contracts functionality. (ETH), the second largest cryptocurrency by market capitalization.
According to Jessop, these plans include the construction of a infrastructure to offer ETH trading . The goal is to provide faster transactions and 24-hour business support, as well as tax compliance and reporting tools, the president said. Fidelity Digital Assets has so far only offered support the opposite of Resistance, it is a threshold that crypto’s price doesn’t fall below. for Bitcoin (BTC).
“ The incredible energy around digital assets as an emerging asset class makes this an exciting time for anyone looking to advance a career in the space, including those working in more traditional areas within financial services “Jessop commented on the technology team’s plans for expansion and growth.
The financial giant’s renewed interest in cryptocurrencies comes amid a bearish scenario for that market. Digital currencies have proved highly volatile this 2022, with Bitcoin falling nearly 50% from its all-time price high in November. The main altcoins , incluyendo Ether, have also recorded significant losses.
Fidelity doesn’t seem concerned about the recent market correction, even as the company has experienced a slowdown in new customer acquisition, Jessop acknowledged. However, he said the firm is betting on a long-term play.
We’re trying not to focus on the dips and focus on some of the long-term indicators, [such as customer demand]. We’re trying to build an infrastructure for the future because we measure success over years and decades, not weeks and months.
Renewed interest in cryptocurrencies
The news comes just one month afterFidelity, que administra más de 4,5 billones de dólares en activos, had announced last month that will allow U.S. investors for the first time to add Bitcoin to their 401(k) retirement savings accounts.
If employers allow it, workers with an account an account is essentially a whose purpose is to track the financial activities of a specific asset/ inFidelity will be able to allocate up to 20% of their retirement savings to the cryptocurrency. The service will be available from the end of this 2022, although some employers, including the enterprise software company, MicroStrategy have already started to test it.
Fidelity Digital Assets now has about 400 clients, including investment advisers, hedge funds and asset managers, product chief Terrence Dempsey told WSJ.
- Mastercard executive does believe there will be massive adoption of cryptocurrencies
- Fidelity: “Countries with Bitcoin today will be better off than their peers”.
- Fidelity files two new ETF an Exchange-traded Fund, an investment fund that users trade on exchanges and trading platforms. applications, one related to the metaverse a metaverse is a digital universe that contains all the aspects of the real world, such as real-time interactions and economies. It offers a unique experience to end-users.
Article by Hannah Estefania Perez / DiarioBitcoin
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