Fidelity’s Crypto Arm Given the Green Light by the New York State Department of Financial Services
Fidelity Digital Assets Service (FDAS), the cryptocurrency arm of Fidelity Investments has been granted a license by the New York State Department of Financial Services (NYDFS), allowing the company to offer cryptocurrency trading and custody services.
According to the press release on Nov. 19, the NYDFS authorized FDAS to act as a limited liability trust company to offer crypto services for institutional investors as well as individuals to buy, sell and transfer Bitcoin.
The FDAS stated in a blog post: “We have experienced a high-interest level from these firms and anticipate that their increased involvement in this industry would enable more activities and development across the spectrum.”
Tom Jessop, the President of FDAS commented in an interview that the demand for digital currencies has been shifting since the launch of the company. He said: “We are seeing strong demand and greater diversity of client types. There are more traditional investors. When we started it was crypto funds and hedge funds.”
Jessop also mentioned that FDAS may start looking into offering its services for other types of cryptocurrencies and to expand overseas.
Michael O’Reilly, the COO for FDAS said that the custody and trade execution services that the company provides are “essential building blocks” for the mass adoption of digital assets, especially for institutional investors.
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