Fidelity will soon offer investment products related to Ethereum. This was announced by Christine Sandler, head of sales and marketing at Fidelity Digital Assets during the Unchained podcast.
During the long chat with Laura Shin, there was an opportunity to talk about Fidelity’s choices of cryptocurrencies and future developments.
Fidelity wants to expand with Ethereum
During a specific question on the possibility that Fidelity could offer Ethereum in the future, Christine Sandler answered:
“It’s clearly on the road map, Laura. I would be remiss if I could state a date, but definitely on the road map”.
It was inevitable to talk about the upcoming launch of Ethereum 2.0 and how this could become an opportunity for investors. For Christine Sandler, companies like Fidelity will undoubtedly offer staking services:
“I think to be a digital asset custodian, and offering proof of stake assets, you definitely have to offer staking services. It puts you at a disadvantage, so I would expect us to build up those services once we can support Ethereum. To be quite candid, most of what we hear is bitcoin. On occasion, we do hear from investors that are seeking access to Ethereum, but most of what we still hear is bitcoin. So, the predominant institutional narrative is around bitcoin”.
However, she admits, there is still much to be done to make institutional investors understand the power of digital assets.
The interview also focused on two innovations in the crypto industry, one launched and booming, the other struggling to take off: DeFi and Bitcoin ETFs.
Speaking of DeFi, Christine Sandler thinks it’s simply fantastic while admitting it requires even more transparency and resilience. But, she comments:
“Just absolutely breathtaking”.
The same enthusiasm is shown for Bitcoin ETFs. The question stems from the ending of Jay Clayton’s term of office at the SEC, and then evolves around the possibility that these Bitcoin-related products will finally be approved. Sandler answers:
“Look, the opportunity to have a bitcoin ETF would be fantastic. While we are still talking about a nascent industry and ecosystem, I do think that a bitcoin ETF would be met with great praise. Just look at the recent inflows to Grayscale. Grayscale is probably the only immediately accessible product. If you woke up one morning and said, I need to have exposure to bitcoin, you can immediately access it through the Grayscale Bitcoin Trust”.
According to the head of sales and marketing at Fidelity Digital Assets, issuing Bitcoin ETFs would expand the market for Grayscale‘s competitors, but the industry must also be prepared to take risks.
A final question has been devoted to CBDCs. For Christine Sandler, the central bank digital currencies will arrive in two years’ time and coexist with fiat currencies.
Ultimately, Fidelity will find itself ready to adapt, and possibly take them on board. Perhaps the first step will be to develop investment products related to Ethereum 2.0.