Fidelity, an investment firm with assets worth over 7 trillion U.S dollars under its management, has finally indicated when it is planning to launch its crypto custody service.
According to an article that appeared on Bloomberg, Fidelity’s crypto custody services is expected to go live in March this year. Citing internal sources with knowledge of the development, Bloomberg reported that Fidelity is “currently serving a select set of eligible clients” and is committed to:
“Thoughtfully engage with and prioritize prospective clients based on needs, jurisdiction and other factors.”
At first, the crypto custody service dubbed Fidelity Digital Assets Services will support Bitcoin with Ether being next on the line.
Previously, Tom Jessop who is in charge of the team developing the crypto custody service said that some of the big institutions are not investing in cryptocurrencies because there lacks a respected firm providing crypto services with security and assurance as they are used to in the traditional markets.
According to Bloomberg, Fidelity’s crypto custody service:
“Hopes it can leverage its famous name and win over institutional customers keen on digital currency trading.”
Fidelity’s decision to diversify into cryptocurrency can be seen as a natural move considering that its CEO, Abigail Johnson, has publicly shown her interest into virtual currencies in the past. Most notably, she introduced crypto mining activities to the firm.
Although the number of firms offering crypto custody services has been on the rise in the past, Wall Street seems to wait for reputable firms like Fidelity to provide crypto custody services.
Custody involves a third party storing cryptos to minimize the risk when they are lost or stolen.
With Fidelity being among the leading investment firms, do you think Wall Street will trust its crypto custody service more than when the service is offered by startups?
Let us know your thoughts in the comments section below.