‘Fidelity Thinking About Bitcoin’ Reveals This About Institutional Investors

Boston-based financial services giant Fidelity Investments He is said to be considering the possibility of allowing his individual clients to trade bitcoin on their brokerage accounts, which adds up to more than 34 million accounts.

according to to me The Wall Street Journal, Mike Novogratz From Galaxy Holdings Ltd, one of Fidelity’s first cryptocurrency clients, indicated that the company is willing to venture into Bitcoin for individual brokerage clients.

Speaking at the SALT NY (Devotion) conference, Novograz said will moving Retail clients have to crypto soon enough.”

Not Fidelity’s first crypto project

This wouldn’t be Fidelity’s first foray into crypto. The company participated in Bitcoin Dialect Where 2015 It has a large stake in Marathon Digital Holdings, one of the largest bitcoin mining companies in the United States

In 2018, Fidelity made Bitcoin available to hedge funds and other institutional investors, followed by its 2020 crypto fund for wealthy clients.

The company made headlines earlier this year when it announced that business customers would be able to add Bitcoin for them 401 K retirement accounts. This was a huge step, given that Fidelity caters to retirement plans 23000 Business.

The move was withdrawn by the US Department of Labor, as officials expressed concern about the allocation of a volatile commodity such as cryptocurrency in citizens’ retirement accounts.

The US authorities may not be too happy about Fidelity’s latest move, as it increases the exposure of cryptocurrencies to retail consumers.

Quantum leap

Until a few years ago, blockchain and crypto conferences were popular among private investors, with so-called crypto bros and individual blockchain enthusiasts in attendance.

Recent conferences have seen the participation of huge funds such as banks and pension funds, which usually stay away high risk Products like crypto. While sharing may not seem like a big deal, the fact that organizations are now actively looking into the crypto space is a sign of a paradigm shift.

accident a report Posted by KPMG He noted that private investors represented the majority of cryptocurrency investments prior to 2018. “Since then, the investor profile has changed, with institutional and corporate investors now representing a much larger share of the investments.”

Speaking about companies that remain unafraid despite the bear market, the report added, “While the crypto space faced significant challenges in the first half of 2022, companies focused on cryptocurrency have attracted $14.2 billion Through H1 ’22”.

Bank of America released a report on September 12 that claimed that a a plus In the adoption of Ethereum by institutional investors after M.ergo scheduled for this week.

Crypto arm Fidelity Digital Assets revealed in May of this year that it plans to hire more than… 200 People who take on technical roles to develop the company’s infrastructure to support several cryptocurrencies, starting with Ethereum.

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