A crypto analyst nicknamed Andrew has claimed that Fidelity Digital Assets, a subsidiary of Fidelity Investments that serves digital assets, is about to make a seismic move in the crypto space via both Bitcoin (BTC) and Ethereum (ETH). .
According to Andrew, his own sources are waiting for Fidelity to either make a bid for Grayscale, the largest digital currency asset manager, or quickly launch its own spot Bitcoin ETF. He added that one or both of these events will happen soon.
He also predicted that Blackrock and Fidelity would own the US crypto space, implying that they would dominate the market with their products and services.
Fidelity Investments applied to launch a physical spot bitcoin ETF in the US in March 2021. The SEC rejected the application on January 27, 2022, and Fidelity has not filed another application since.
However, Andrew's claims have not been confirmed by any official source and should be viewed with caution. Neither Fidelity nor Grayscale have confirmed or denied these rumors. It's unclear how reliable Andrew's sources are and what his motives are.
Fidelity Digital Assets is one of the leading institutional players in the crypto industry, providing custody, transaction processing and other services for digital assets.
A Bitcoin ETF is an exchange-traded fund that tracks the price of Bitcoin and allows investors to buy and sell shares of the fund on a regulated exchange. A spot Bitcoin ETF will use real Bitcoin to back its shares, unlike some existing Bitcoin ETFs that use futures contracts or other derivatives.
*Not investment advice.