Fidelity Digital Assets, the cryptocurrency group of $10 trillion asset manager Fidelity Investments, plans to add about 100 new employees to meet rapidly growing institutional demand for digital assets beyond Bitcoin (BTC).
“[Last year] was a real breakthrough for the space given the interest in bitcoin that accelerated at the start of the pandemic,” Tom Jessop, president of Fidelity Digital Assets, told Bloomberg yesterday. “We’ve seen greater interest in ether, so we want to be one step ahead of that demand.”
So far, Fidelity Digital has only offered custody, trading, and other services related to Bitcoin to its customers. However, when the price of BTC hit a new record of around $63,000 and Ethereum (ETH) broke above $4,300 earlier this year, institutional investors turned their attention to altcoins.
“Bitcoin is attacking a lot of institutions. Now it’s really opening a window to what else is going on in the industry,” Jessup said, adding that recently new and existing Fidelity customers have shown “a wide range of interests” to have. .
For example, family offices and hedge funds made up the majority of Fidelity Digital’s clients in the past, Jessup explains, but this list is growing as various retirement advisors and companies also want to keep cryptocurrency as an asset.