September 28, 2022

Fidelity Considers Allowing Individual Investors to Buy Bitcoin CryptoBlog

  • Fidelity Investments is considering allowing individual investors to buy bitcoins.
  • Investors could purchase the asset through the company’s online brokerage.
  • Fidelity has more than 34 million individual investors on its platform.

Fidelity Investments is considering allowing individual investors to invest in bitcoin on its brokerage platform, according to a report by the the wall street journal.

The pro-bitcoin financial institution previously released an investor report titled bitcoin first, explaining why investors should consider investing in bitcoin before any other digital asset. Now, Fidelity is looking to open this investment vehicle to its more than 34 million individual investors.

In 2018, Fidelity built a platform that allowed institutional investors and hedge funds to trade bitcoin, and more recently the company partnered with MicroStrategy to launch its Bitcoin 401(k).

So while Fidelity has continually shown a pro-bitcoin orientation for its institutional-grade investors, the 401(k) product has allowed the financial giant to continue to cater to a broader customer base while putting bitcoin in the hands of workers. daily.

However, this constant support for bitcoin has drawn unwanted attention from lawmakers. Last July, an open letter from staunch bitcoin opponents condemned Fidelity for offering its 401(k) product.

In fact, one particular passage from the letter shows exactly what some U.S. lawmakers think about offering bitcoin to the working class:

“This begs the question: when saving for retirement is already a challenge for so many Americans, why would Fidelity allow those who can save to be exposed to an untested and highly volatile asset like Bitcoin? ”

Despite bitcoin’s adoption as both a store of value and a viable currency, it’s clear that legislators and legacy institutions are still struggling with understanding or accepting bitcoin. However, you could say that Fidelity is ignoring the noise of the ecosystem and continuing to come up with innovative service offerings.