Key Takeaways
- Fidelity introduces a new platform allowing investors to trade specific cryptos (Bitcoin and Ethereum) with no commission at all.
- This comes on the back of many other trading service platforms, including Robinhood and Binance, which allows users to trade crypto without any commission.
- The Fidelity financial service aims to promote cryptocurrency trading among its users, and this move can increase the number of diverse users on the trading platform.
One of the largest financial services companies in the world, Fidelity Investments, which manages $9.9 trillion in assets, has launched a waitlist for a new service called Crypto Fidelity that will enable retail investors to trade bitcoin (BTC-USD) and Ethereum (ETH-USD) without paying a commission.
Users can trade certain cryptocurrencies commission-free, but the firm warned that every trade execution price would include a spread of up to 1%. The company’s subsidiary, Fidelity Digital Assets, will provide the service.
Fidelity has made an early-access waitlist available to customers, despite not giving a launch date for the new service. A sizable number of the brokerage’s clients are already involved in digital assets. Thus it is focusing on individual investors for commission-free crypto trading, according to the brokerage.
With this move, Fidelity will directly compete with cryptocurrency exchange Binance and retail trading apps Robinhood Markets (HOOD) and Robinhood Markets (HOOD), which already let users trade cryptocurrency without paying a commission.
“A meaningful portion of Fidelity customers are already interested in and own crypto. We are providing them with tools to support their choice, so they can benefit from Fidelity’s education, research, and technology,” stated the company.
Given Fidelity’s considerable size and more than 34 million brokerage clients, the move is significant for the cryptocurrency industry and will likely lead to a rise in the acceptance of cryptocurrencies.
The fact that Fidelity has been consistently expanding its presence in the emerging crypto industry despite low token values can also be considered a positive driver. Only a few weeks ago, Fidelity Digital Assets announced plans to hire an additional 100 employees in the upcoming three to six months, increasing the total to about 400.
In a statement to CNBC, Fidelity revealed, “Where our customers invest matters more than ever, A meaningful portion of Fidelity customers are already interested in and own crypto. We provide them with tools to support their choice, so they can benefit from Fidelity’s education, research, and technology.”
Also Read:
Mastercard Announces the Addition of Seven Different Startups to its Crypto Program
Elon Musk’s Twitter Takeover takes Dogecoin Prices Up
Smart Ways to Finance Your Hatchback
How To Choose NFT Marketplace – A Complete Guide
How to Withdraw Money from Robinhood – An Easy Step By Step Guide
The Fidelity Investment Platform
Fidelity has been a significant institutional supporter of Bitcoin and other digital assets, referring to BTC as a “superior form of money” that will gain popularity. Though most of its efforts have been directed toward institutional investors, rumours of a retail offering have been brewing for some time.
Mike Novogratz, CEO of Galaxy Digital, reportedly stated in September that Fidelity would soon allow retail access to cryptocurrencies, as reported by Cointelegraph.
After introducing Ether custody and trading services to its high-net-worth clients recently, Fidelity Digital has increased its institutional offerings despite the bear market. The asset manager revealed intentions to allow retirement participants to make direct Bitcoin investments through their 401(k) accounts in April of this year.
Currently, brokerage platforms like Robinhood and cryptocurrency exchanges like FTX Trading and Coinbase dominate the retail industry. In September 2022, Fidelity teamed up with Charles Schwab and Citadel Securities to build a cryptocurrency exchange because it wants to be a part of the ecosystem for digital currencies.
About Author
- In-depth Crypto Researcher, with a decade's experience in cryptocurrency and blockchain technology. Highly innovative and open-minded.
Latest entries
- Press Releases2022.12.04MetaWin Awards Winner A $31,000 Mutant Ape NFT
- Press Releases2022.12.04Fidelity Broker’s Retail Customers to Start Using Crypto Soon
- Press Releases2022.12.04Hennessy Partners with Friends With Benefit for the “Café 11” NFT Drop
- Press Releases2022.12.04Crypto Twitter: Blockchain Experts and Executives Share Their Thoughts
