NEWSHead of Fidelity says wealth managers are in Bitcoin ‘education mode’

wealth managers

Mike Durbin, the head of Fidelity Investments, recently presented a novel argument that runs contrary to the prevalent viewpoint regarding Bitcoin’s rising popularity among mainstream adopters. When it comes to cryptocurrencies, the “education mode” is where, according to him, the vast majority of companies are still currently operating. In an interview with Reuters Digital Assets Week, he said:

They are aware of what they are doing, and what is more important, the majority of their end investors are also aware of what they are doing; however, the vast majority of investors are still in the learning stage.

In addition, Senator Durbin predicted that the rate of growth of Bitcoin and other digital assets “will follow in that wake of broader alternative investments,” and he stated:

There is still much work to be done in this area to assist financial advisors in comprehending portfolio construction through the use of expressions of this kind.

Late in October of 2017, Fidelity Digital Asset Services (FDAS), the cryptocurrency subsidiary of Fidelity Investments, formed a partnership with Stack Funds, a regulated investment manager based in Singapore. The purpose of this partnership was to facilitate the growing demand for cryptocurrencies among Asian investors. As part of this partnership, Stack Funds will provide its clients with access to custody services offered by FDAS.

During the same year, Peter Jubber, president and director of digital funds at Fidelity, filed paperwork with the United States Securities and Exchange Commission (SEC) to plan the launch of a new fund that would focus on Bitcoin.

With its support for the cryptocurrency dating all the way back to 2017, the organisation is frequently cited as being among the mainstream institutions that were among the earliest to adopt Bitcoin. After a year had passed, the CEO of Fidelity, Abigail Johnson, finally came clean and admitted that she had been mining the cryptocurrency asset. Subsequently, the company started getting ready to launch its Digital Assets branch after Johnson’s admission.