One of the largest asset managers, Fidelity Investments, is in the final stages of testing its own stablecoin as new crypto regulations loom.
Testing Fidelity's Stablecoin
According to a Financial Times report, Fidelity Investments is conducting tests of a new stablecoin, potentially complementing its digital assets services. Sources indicate the stablecoin will function like cash in cryptocurrency markets and be managed through the company's digital assets arm.
Advancement in Digital Assets
The market giant, Fidelity, has not yet announced whether the stablecoin will be available to retail traders or only institutional investors. Recently, the company filed a proposal to create a blockchain-based version of its money market, aiming to register 'OnChain' share class.
Proposal for a New Fund
Fidelity filed with the U.S. Securities and Exchange Commission to register a share class of the Fidelity Treasury Digital Fund. This fund invests in cash and U.S. Treasury securities, highlighting the significance of tokenized Treasury debt, which ranks second in total value among tokenized assets.
Fidelity's stablecoin development is part of a broader trend of integrating digital assets into financial markets amid growing investor interest.
