Because of the rising demand for crypto assets, the asset management business is looking to expand its personnel.
According to the company’s president, many of Fidelity Digital Assets‘ clients are particularly interested in Ethereum.
Fidelity Digital Assets is on the rise
Fidelity Digital Assets is expanding its business.
Because of the strong interest in the crypto sector among customers, the asset management unit, part of the institutional-focused firm Fidelity Investments Inc., plans to expand its workforce by 70%.
Fidelity Digital Assets president Tom Jessop told Bloomberg that the company plans to hire 100 people to concentrate on product development and broaden its offerings beyond Bitcoin. He stated,
“We’ve seen more interest in Ether, so we want to be ahead of that demand.”
Jessop also stated that 2020 was a “breakout year” for the crypto space, with the Coronavirus epidemic causing an acceleration. As a result of the extraordinary money creation, many investors resorted to Bitcoin as an inflationary hedge, helping the asset reach a high of $64,000 in April 2021. Before a market-wide meltdown in May, Ethereum, like many other coins, surged.
Fidelity Digital Assets now exclusively provides custodial services for Bitcoin, but with the rising popularity of Ethereum, this might change shortly. Jessop also stated that the company intends to offer trading regularly to make it full-time for most of the week.
According to Jessop, institutional investors have increased their appetite for crypto, with Bitcoin serving as a conduit to other assets. He explained, “It’s now really opening up a window on what else is going on in the space.”
Throughout this year, Fidelity has made obvious measures to double down on the crypto explosion. It applied for a Bitcoin ETF in March. It is now awaiting approval from the Securities and Exchange Commission.