Fidelity, one of the most surprising cryptocurrency revelations, has expressed today their idea of expanding already. Their goal would be offer trading and custody service to the top five rated cryptocurrencies on the market rated by market cap. This constitutes a change of heart. They announced that they would support only Ethereum and Bitcoin at launch time.
Fidelity Expands Even Before Launching
Fidelity, the wall street giant that took the world by surprise announcing its crypto business, is already expanding. According to sources that assisted to the Block FS conference, their CEO is thinking into supporting the top five cryptocurrencies ranked by market cap. This constitutes a great endorsement for the whole market.
Fidelity had already announced that they would be launching a custody and OTC trading solution for enterprises in August. At the time, they said that they would be supporting only Bitcoin and Ethereum. But they had a change of heart. Their CEO Tom Jessop declared:
“I think there is demand for the next four or five in rank of market cap order. So we will be looking at that,”
clarifying the position of the company on the issue before its launch. When he was asked about supporting other cryptocurrencies than the named ones, he answered:
“We have had some interest but we don’t think it’s a groundswell of interest, so our focus is really on the top, call it five-seven, before we start building capabilities for the tail. But I think it will come.”
Cautious Approach To Security Tokens
Despite this openness about some cryptocurrency options, Jessop was very cautious when talking about the trading of tokens that could be deemed as securities. Currently, the SEC has started an enforcement attack on ICOs and decentralized exchanges. They fined EtherDelta with more than $400K and two ICOs with $250K on the charges of selling unregistered securities.
“I think when it comes to security tokens or tokens that are likely to be deemed securities, we are waiting for that space to develop,”
Expectations For The Next Year
This latest round of institutions putting crypto as an alternative asset class is very bullish. Many of the experts that forecast bitcoin prices have been waiting for Fidelity and Bakkt to enter the stage next year. Fidelity is a monster organization with more than 13,000 customers interested in investing in cryptocurrencies. This could be the golden time for crypto to go mainstream as a legitimate investment tool.