Fidelity Investments Is Rumored to Be Building a Cryptocurrency Exchange

via Glassdoor.com
Voyager
Voyager

Fidelity Investments, a major financial institution with around $2.5 trillion in managed assets, is looking for talent to build its own digital asset exchange.

According to a breaking report by Business Insider that cites¬†insiders with knowledge of the firm’s crypto ambitions, Fidelity recently sent around an internal job posting for a¬†DevOps system engineer “to help engineer, create, and deploy a Digital Asset exchange to both a public and private cloud.”

The position falls under the firm’s crypto division, the Fidelity Digital Asset Service unit, however, the listing did not specify whether the exchange would be designed for retail or institutional investors in mind.

This would not be the first crypto-related effort by Fidelity. In August 2017, it announced a partnership with Coinbase, which would allow users to view their digital asset holdings alongside their other accounts in their Fidelity Portfolio. The firms CEO, Abigail Johnson, is also a major supporter of bitcoin and blockchain technology.

With this latest move, Fidelity joins the growing lists of financial institutions and companies building out cryptocurrency products. On Wall Street, several investment banks, including Morgan Stanley and Goldman Sachs, have signaled that they are to creating dedicated cryptocurrency trading desks while Nasdaq CEO Adena Friedman recently said she is open to building a Nasdaq cryptocurrency exchange.

Just last month, SoFi, an online personal finance company that specializes in student and personal loan refinancing, plans to integrate cryptocurrency into its online wealth management offerings by 2019.

By building an exchange, Fidelity will move into direct competition with a number of established players in the U.S. markets, including Coinbase, Circle, Robinhood and Abra. In addition, it is anticipated that multiple new entrants in 2018, including Israel-based social trading platform eToro and London-based digital banking startup Revolut.

Given the firm’s significant assets under management and customer-base, Fidelity would likely be an instant force in the still-growing industry.¬†However, there has been no official statement by the firm confirming the report, nor is there any indication of the timeline for the launch of these crypto-related products.

More: Fidelity, a Household Name in American Investing, is Plotting a Big Move into Cryptocurrency Trading
Similar:¬†Former JPMorgan Exec Predicts Banks Will Trade Crypto ‚ÄúSooner Than People Probably Think‚ÄĚ
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