Fidelity announced last week that it would be establishing a new entity to serve European clients investing in crypto assets.
According to CoinHub, Fidelity Digital Assets Ltd. will offer digital asset custody as well as trade execution services to investors like hedge funds, family offices, and market intermediaries.
The custody service will consist of a cold storage vault and “multi-level physical, operational and cyber controls”. The announcement details also add, the trade execution service will provide clients access to multiple sources of liquidity.
The group is “encouraged by continued corporate and venture investment in market infrastructure companies as well as the entry of traditional exchanges into the digital assets ecosystem,” according to Tom Jessop, head of Corporate Business Development for Fidelity Investments and president of the U.S. digital asset subsidiary
He went on to say:
"These and other market indicators, alongside interest expressed from U.K. and European client prospects, indicate a market with increasing potential which gives us the confidence to expand the digital assets business geographically."
The new entity was incorporated in the U.K. on Dec. 16, but does not currently hold any regulatory permissions. COO of the U.S. digital asset subsidiary, clarified to the publication.
“Obviously we’ll make sure that we’re compliant with any U.K. or any other licences that are required, but at this point our understanding is that we do not require any additional licensing to do this in the U.K...
Since launching Fidelity Digital Assets in the U.S. over a year ago, we’ve seen significant interest and engagement by the institutional community, which show no signs of slowing."
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