In September, Fidelity launched a new token FDIT on Ethereum, which has already attracted significant assets.
Launch of FDIT Token
Fidelity quietly launched the Fidelity Digital Interest Token (FDIT) on Ethereum last month. This token represents a share in Fidelity’s Treasury Digital Fund (FYOXX), providing access to the firm’s portfolio consisting entirely of U.S. Treasury securities and cash. The fund was established in August with Bank of New York Mellon as its custodian.
FDIT's Positioning in the Market
Fidelity charges a 0.20% annual management fee for the tokenized fund, positioning it competitively in the rapidly growing tokenized treasury market. This launch aligns with the firm’s previous filing with the SEC to add an on-chain share class to its treasury fund.
Conclusions on the Tokenized Treasury Market
The tokenized treasury market is now valued at approximately $7 billion, with BlackRock’s BUIDL fund holding over $2 billion in assets. Such funds provide users with the opportunity to gain treasury exposure without going through traditional intermediaries.
The launch of the FDIT token reflects the growing interest in tokenized assets offering stable and regulated investment options in the digital asset landscape.
