Fidelity Investments, a prominent financial services company, has not yet established a dedicated crypto fund. While it offers exposure to crypto assets through its brokerage platform, Fidelity currently doesn’t have a specific fund that invests directly in cryptocurrencies. However, Fidelity is actively monitoring the crypto market and has stated that it is exploring the possibility of launching a crypto fund in the future, showcasing its interest in expanding its offerings to meet the evolving investment landscape.
Fidelity Digital Assets
Fidelity Digital Assets (FDAS) is the digital asset business of Fidelity Investments, providing custody, trading, and consulting services for institutional investors in bitcoin, ether, and other digital assets.
FDAS was launched in October 2018, and in May 2020, it became the first regulated crypto custodian to receive New York State Department of Financial Services (NYDFS) approval under the BitLicense framework.
In March 2022, FDAS announced the launch of the Fidelity Crypto Index Fund, a private fund that provides exposure to a broad range of digital assets. The fund is available to accredited investors with a minimum investment of $50,000.
| Service | Description |
|---|---|
| Custody | FDAS provides secure custody services for digital assets, including cold storage and multi-factor authentication. |
| Trading | FDAS offers over-the-counter (OTC) trading services for digital assets, as well as access to exchanges and liquidity providers. |
| Consulting | FDAS provides consulting services to institutional investors on topics such as digital asset strategy, risk management, and regulation. |
Cryptocurrency Investment Options
While Fidelity Investments, a reputable investment management company, does not offer a dedicated cryptocurrency fund, it recognizes the growing interest in digital assets and provides various avenues for investors to gain exposure to the cryptocurrency market.
1. Wise Origin Bitcoin Trust (WBTC)
- An exchange-traded trust that holds bitcoin in cold storage.
- Traded over-the-counter (OTC).
- Provides a regulated and secure way to invest in bitcoin.
2. Bitcoin Index Fund
- A private fund that tracks the performance of a basket of bitcoin-related stocks.
- Invests in companies involved in bitcoin mining, trading, and storage.
- Offers exposure to bitcoin without direct ownership.
3. Grayscale Bitcoin Trust (GBTC)
- A publicly traded trust that holds over 635,000 bitcoin.
- Traded on the OTC Markets Group.
- Provides liquidity and transparency for investors.
| Feature | Wise Origin Bitcoin Trust | Bitcoin Index Fund | Grayscale Bitcoin Trust |
|---|---|---|---|
| Investment | Bitcoin (direct) | Bitcoin-related stocks | Bitcoin (indirect) |
| Trading | OTC | Private | OTC |
| Liquidity | Limited | Low | Moderate |
Fidelity’s involvement in the cryptocurrency space through these investment options offers investors diversified access to the digital asset market. It demonstrates the company’s commitment to providing clients with a range of alternative investment choices while acknowledging the evolving financial landscape.
Bitcoin Fund (FBTC)
The Fidelity Bitcoin Fund (FBTC) is a professionally managed fund that offers investors exposure to the price of Bitcoin, the world’s leading cryptocurrency. The fund is designed to provide investors with an easy and convenient way to gain exposure to Bitcoin without the need to purchase and store the cryptocurrency directly.
FBTC is actively managed by Fidelity’s experienced investment team, which seeks to maximize returns for shareholders while managing risk. The fund invests in a diversified portfolio of Bitcoin-related assets, including Bitcoin futures and derivatives, and employs a range of strategies to manage risk and enhance returns.
Key Features of FBTC:
- Provides investors with exposure to the price of Bitcoin
- Actively managed by Fidelity’s experienced investment team
- Invests in a diversified portfolio of Bitcoin-related assets
- Employs a range of strategies to manage risk and enhance returns
FBTC Fund Statistics:
| Date | NAV per Share | Market Price |
|---|---|---|
| January 1, 2023 | $10.00 | $10.00 |
| February 1, 2023 | $11.00 | $11.00 |
| March 1, 2023 | $12.00 | $12.00 |
Institutional Custody Services
Fidelity Digital Assets offers institutional custody services for digital assets. This service provides institutional investors with a secure and regulated platform to store and manage their digital assets. Fidelity Digital Assets’ custody services are designed to meet the unique security and regulatory requirements of institutional investors.
Fidelity’s custody services are backed by a track record of security and innovation in the financial services industry. The company has been a leader in the development of new technologies to protect customer assets and is committed to providing the highest level of security for its digital asset custody clients.
- Some of the key features of Fidelity Digital Assets’ custody services include:
- Secure storage of digital assets in hardware wallets
- Multi-factor authentication and access controls
- Regular audits and security assessments
- Compliance with all applicable laws and regulations
Well, that’s all, folks! We’ve explored the ins and outs of whether or not Fidelity offers a crypto fund. If you’re still curious or the crypto landscape changes in the future, feel free to swing by again. Thanks for reading, and see you next time!