Fidelity Is Rumored To Plan A “Upheaval” In The Crypto Market, According To Andrew Parrishco-founder of Arch Public.
The asset manager describes itself as “interested in cryptocurrencies” and has been mining bitcoin ever since. 2014. By 2018, he had launched a separate business dedicated to cryptocurrencies. Loyal Digital Asset (FDA) obtained the New York Trust Charter and began operations in Europe in 2020.
Examples of FDA efforts include: fidelity cipher The service will allow users to trade Bitcoin and Ethereum alongside traditional stocks, facilitating 401(k) digital asset investments.
Rumor has it that Fidelity is the third largest asset manager in the world. $4.24 trillion The company under management may be considering acquiring Grayscale or applying for a Bitcoin spot ETF.
Parrish also speculated that these potential moves and other recent events could see BlackRock and Fidelity dominate the U.S. digital asset sector.
crypto slate We reached out to Fidelity for further comment. No response was received at the time of writing.
grayscale conversion
grayscale works 17 A cryptocurrency trust consisting of single and multi-asset funds. The largest asset under management (AUM) is Bitcoin Trust (GBTC) at $16.5 billion.
The Grayscale Trust product allows accredited investors to gain exposure to the underlying crypto assets via shares within the trust. Like ETF products, Grayscale Trust has his SEC reporting requirements and offers strong investor protection.
However, the crucial difference is that the Spot Bitcoin ETF allows redemption in BTC, which the Grayscale Bitcoin Trust cannot offer.
Grayscale has been trying to convert GBTC into a spot Bitcoin ETF for some time. However, the Securities and Exchange Commission (SEC) rejected the conversion, leading Grayscale to file a lawsuit against the US Securities and Exchange Commission. June 2022.
hot after black rock
BlackRock, the world’s largest asset manager, applied for a Bitcoin spot ETF on June 15.
The move was generally seen as positive for the cryptocurrency industry, including a price boost and industry justification.
However, questions remain about the application’s chances of success and BlackRock’s motives.advocate of decentralization Chris Breck He also warned of the possibility of a Bitcoin proof-of-stake fork as a potential outcome.
A post rumored to have Fidelity soon to make a “seismic” cryptocurrency transition first appeared on CryptoSlate.
