Fidelity Digital Assets, the crypto arm of $2.3 trillion investment giant, Fidelity Investments, can now offer its services in New York after receiving approval from the New York Department of Financial Services (NYDFS).
The approval, according to a Nov. 11 press release, comes in the form of Fidelity Digital Assets receiving a “limited purpose trust company charter,” ultimately meaning that the company would operate under the regulatory oversight of the DFS.
Fidelity Digital Assets, in its announcement, noted that attaining the status of limited purpose trust company permits the company to roll out its crypto custody and trade execution services to firms based in New York, the leading financial center in the U.S.
Michael O’Reilly, Chief Operating Officer of Fidelity Digital Assets, also shared more insights regarding the high level of trust that the new status accords their institutional-focused crypto platform.
The designation [...] builds on the credibility and trust we’re establishing amongst institutions and other market participants. We will continue to play a leading role in supporting the maturation of the entire ecosystem as we expand our business and the clients we serve.
Interesting, Fidelity Investments involvement with crypto completes the duo of leading U.S financial giants making their debut through startups targetting institutional investors who are interested in the emerging market.
Stmarket.co also reported earlier this month that Bakkt received approval from the NYDFS to serve as a custodian for digital assets.