Fidelity launches cryptocurrency custody

CryptocurrenciesFidelity International has launched a company to provide custody of digital assets – known more commonly as cryptocurrencies - for institutional investors.

The firm, which manages $7.2 trillion, has established Fidelity Digital Asset Services in New York.

Trade execution for cryptocurrencies is also to be offered by the new venture.

Fidelity says the service is aimed at sophisticated institutional investors including hedge funds, family offices and market intermediaries.

“Our goal is to make digitally-native assets, such as bitcoin, more accessible to investors,” said Abigail P. Johnson, chairman and chief executive of Fidelity Investments.

Johnson said Fidelity had started exploring blockchain and digital assets several years ago.

“We expect to continue investing and experimenting, over the long-term, with ways to make this emerging asset class easier for our clients to understand and use,” he said.

Fidelity Digital Assets started in the “Blockchain Incubator” at Fidelity but is now a stand-alone business.

In July, Switzerland’s stock exchange provider SIX Group said it was starting to offer custody for cryptocurrencies.

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