Asset manager Fidelity is clearly not intimidated. FTX bankruptcy or not, it is as expected to activate crypto trading accounts for individuals who were on the waiting list earlier this month.
A tumultuous context
Fidelity and Bitcoin is already a long story. It has been several years since the US investment fund giant established its subsidiary dedicated to cryptos, Fidelity digital assets. But until then, the offerings, extended to Ether, were aimed only at institutional investors. But early November the Wall Street pioneer in the field has innovated by announcing a bitcoin and ethereum trading option for individuals. Through the internal application, private investors were invited to register on a waiting list to access a service that would allow them to trade the two cryptocurrencies from $1.
An announcement that shortly preceded the catastrophe of FTX. An event that caused an unprecedented earthquake in the crypto industry, with its cohort of revelations, one more sickening than the next, casually crucifying, and no doubt for a long time, everything directly or indirectly related to the world of crypto assets to use regulator terminology. The same ones who took out the knives, begging and gesticulating at all costs to advocate for more regulation of the industry once the disaster has happened.
Faithful to his obligations
And in this somewhat muddled offensive where everything is conveniently confused to “hit bitcoin”, instead of targeting precisely the harmful practices (the word is weak) of centralized actors, Loyalty has not gone unnoticed by the ambient hallali. The goal: to have introduced bitcoin to its customers’ pension plans. Because, the company, it must be remembered, is the largest provider of retirement accounts in the United StatessStates – the famous 401(k). An initiative that shocked a group of senators, who returned to the charge following the collapse of FTX, to urge Fidelity to give it up.
We again urge Fidelity Investments to reconsider its decision to allow 401(k) plan sponsors to expose plan participants to Bitcoin.
Since our last letter, the digital asset industry has only become more volatile,
tumultuous and chaotic – all hallmarks of an asset class that no sponsor or pension saver would want to approach.
As far as we know, the giant has not officially responded to this prompting. Against all odds, he continues to want to impose bitcoin on the institutional financial landscape. And in the same vein, he is not giving up on his project to open up BTC and ETH trading to retail customers. As reported by the media The Block, by forwarding an email notifying users that the wait is over. Fact, they access a Fidelity Crypto account after first agreeing to the risks they are taking.
Investing, buying and selling digital assets involves a variety of risks that are not present in investing, buying and selling products in other more traditional asset classes.
Risk Consent Statement quoted in The Block