Institutional investors continue to increase their investment in cryptocurrencies. In this regard, the company Fidelity Digital Assets plans to hire another 100 people in its staff. Thus, the staff will be increased by about 70%.
Currently, Fidelity Digital Assets already provides relevant services, but meeting the growing demand requires new resources, the company notes.
Recall that currently Fidelity Digital Assets provides services related to Bitcoins. Including a storage service for such digital assets, as well as trading. The company highly appreciated the effectiveness of work in the direction of Bitcoin services.
Fidelity President Tom Jessop said the company plans to expand its staff to Dublin, Boston and Salt Lake City. At the same time, it planned that new investments will be not in Bitcoin, but in other cryptocurrencies, including Ethereum. According to Jessup, institutional investors have a strong interest in altcoins.
This won’t be Fidelity’s first interest in Ethereum. Back in September 2017, Johnson announced that her company would add the second largest cryptocurrency alongside Bitcoin.
A 2020 Fidelity survey found that nearly a third of the corporation’s large clients in Europe and the United States added digital assets to their portfolio.
At the same time, the firm announced the expansion of the staff of developers with experience working with Amazon Web Services, Java programmers and data scientists.
In addition, it is in the interests of the company to provide large trading volumes. So, Fidelity plans to launch a full-fledged cryptocurrency trading platform that will work around the clock, seven days a week. This should attract new customers, because in traditional finance, trades are held only on weekdays.
Recall that at the end of April, Fidelity introduced SherlockSM, a digital asset analysis tool designed for institutional investors. The tool will allow you to analyze blockchain data, market data, as well as sentiment on social networks and among developers.
Institutional investor interest in crypto
The interest of institutional investors in the cryptosphere is multifaceted. So, almost simultaneously with the information from Fidelity Digital Assets, it became known that Capital International Group acquired a 12.2% stake in the equity capital of MicroStrategy. Which is known as one of the world’s largest institutional investors in Bitcoins. With about $ 560 million in MicroStrategy shares, Capital International Group has become the second outside investor in MicroStrategy after the Black Rock investment fund.
In April 2021, Jessop suggested that digital gold has reached a tipping point in institutional adoption.
Later, the Chicago Board Options Exchange applied for a Bitcoin ETF listing from Fidelity Investments. The US Securities and Exchange Commission began its consideration at the end of May.
Germany also recently passed a regulation allowing crypto investment in institutional funds. The German Federal Financial Supervision Authority (BaFin) approved the move after previously having reservations over the crypto sector.
JPMorgan analysts have also previously stated that the ability to bet on crypto could gain traction as an alternative to institutions generating additional income. Analysts predict the sector could reach $ 40 billion by 2025.