One Alpha CEO: Fidelity Digital Assets Announcement Even Bigger than ICE’s Bakkt for Bitcoin
One Alpha CEO Offers Insights on Fidelity Digital Assets
In a recent interview with CNBC Crypto Trader, Yaniv Feldman, the CEO and Founder of One Alpha, talked about the involvement of Fidelity in the cryptocurrency industry. He also touched on how the firm is onboarding institutional investors, as well as the difference between the announcements made by Fidelity and Yale University on the possibility of venturing into the crypto space.
Fidelity Investments is the third largest assets management firm in the world. This year, the company introduced Fidelity Digital assets. As the name suggests, this new venture will mainly deal with cryptocurrencies such as Bitcoin. Primarily, the role of Fidelity Digital Assets is to make such assets available to institutional investors. The platform is expected to go live in 2019 Q1.
According to Feldman, the announcement of Fidelity Digital Assets is the most significant concerning cryptocurrencies for institutional investors over the past 3 months. Similar announcements include Bakkt by Intercontinental Exchange and ErisX by TD Ameritrade. Bakkt is scheduled to go live next month, while ErisX will launch in 2019 Q2. Feldman stated that the crypto community had been eagerly awaiting the introduction of a crypto trading platform by Fidelity Investments. As a result, the company created Fidelity digital assets, a subsidiary whose sole mandate is to provide crypto-related services.
In addition, Feldman also talked on the difference between Fidelity's announcement and the one made earlier this month by Yale University. The Ivy League higher learning institution recently invested in a cryptocurrency fund called Paradigm. Within a short time, the university had raised a whopping $400 million. Therefore, the investment made by the Yale is ‘the second level', because it is Paradigm that deals directly with virtual currencies. Contrariwise, Fidelity will directly deal with providing services related to crypto assets such as execution of trades and custodial and storage solutions.
Feldman concluded by further explaining the role of Fidelity Digital Assets. He said that the platform will execute trade orders for institutions on crypto exchanges coupled up with consultancy services for the institutions. Moreover, the company will train companies that are delving into the crypto space for the first time.