Fidelity officially launches FIDD stablecoin

JH Kim

Summary

Fidelity said it has officially launched the FIDD stablecoin for retail and institutional investors.
FIDD is issued on the Ethereum network and can be purchased and redeemed directly through platforms such as Fidelity Digital Assets and Fidelity Crypto, it said.
The stablecoin launch is a move to expand the business into on-chain payments, settlement, and asset management, and analysis said it could alter the competitive landscape in the existing stablecoin market.

Fidelity has officially launched its in-house stablecoin, FIDD, for retail and institutional investors.

According to The Block, a digital asset (cryptocurrency) industry outlet, Fidelity’s stablecoin FIDD is issued on the Ethereum (ETH) network and can be purchased and redeemed directly through Fidelity Digital Assets, Fidelity Crypto, and the Fidelity Crypto for Wealth Managers platform.

FIDD is a US dollar-pegged stablecoin and will be operated in conjunction with Fidelity’s existing digital-asset infrastructure. It is designed so that institutional investors, as well as retail investors, can access it under the same structure.

Fidelity already offers crypto investment products, including a spot Bitcoin (BTC) exchange-traded fund (ETF), and this stablecoin launch is viewed as a move to expand its business scope into on-chain payments, settlement, and asset management.

The industry is also seeing analysis that, as major traditional asset managers ramp up direct issuance of stablecoins, the competitive landscape within the existing stablecoin market could shift.