Institutional investment asset management firm Nickle Digital has partnered with Fidelity Investment.
Fidelity will serve as a custodian for the London based hedge fund management firm. According to reports, this is Fidelity’s first foray into Europe’s digital asset space. With many crypto enthusiasts overjoyed by the partnership.
Nickle pointed out that it is looking forward to seeing more institutional players in the crypto space. Also adding that this partnership will help facilitate it.
This news comes barely one month after the finance giant opened an outlet in the United Kingdom. Appointing Chris Tyrer, former MD of Barclays, as the head of this new branch.
Fidelity Investments will be in charge of safekeeping all of Nickle digital bitcoin funds. It’ll also actively deflect all forms of fraudulent activities and cyber-attacks.
Speaking with Evening Standard Today, Tyler pointed out that Fidelity and technology have always been in sync. Further adding that “we have a large incubator focused on cryptocurrency.”
The entire fidelity team is also in agreement with the firm’s crypto exploits.
Low institutional investors — a major issue
The crypto space still lacks institutional investors. Many of them find it difficult to invest in Bitcoin and altcoins due to their price volatility and little or no insurance. This is what the financial giant is looking to fix.
Fidelity currently manages about $8 trillion worth of assets for its customers. It is one of the relatively few institutional players in the crypto space. Last year, it launched a crypto custody arm dubbed Fidelity Digital Assets. Tyler believes that when issues such as institutional investor participation, regulation, etc are addressed, institutional investments are sure to increase.
At the end of 2019, Fidelity investments disclosed that it has great plans for 2020. Starting out the year with a partnership with Nickel Digital shows it is on the right track.