Fidelity Digital Asset Services has obtained a trust company charter from the New York Department of Financial Services (NYDFS), allowing the Fidelity Investments unit to custody bitcoin for institutional investors in the financial capital of the U.S.
FDAS joins 22 other companies that have been approved for a charter or license by the regulator to engage in virtual currency business activities, NYDFS said.
“The custody and trade execution services that we provide are essential building blocks for institutional investors’ continued adoption of digital assets,” Michael O’Reilly, Chief Operating Officer for Fidelity Digital Assets, said in a press release. “The designation as a New York Trust Company under the supervision and examination of the DFS builds on the credibility and trust we’re establishing amongst institutions”
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.