Fidelity International’s Bold Move
In a surprising leap into the world of cryptocurrency, Fidelity International has announced it will be listing a Bitcoin exchange-traded product (ETP) on two prestigious platforms: the SIX Swiss Exchange and Germany’s Xetra digital stock exchange. Talk about a financial firm having its cake and eating it too!
The Details Behind the ETP
On a bright Tuesday morning, Deutsche Boerse revealed that Fidelity’s Bitcoin ETP, traded under the ticker FBTC, is officially live on the Xetra and the Frankfurt Stock Exchange. But wait, there’s more! This digital investment vehicle is expected to leap onto the SIX Swiss Exchange shortly. You know what they say, go big or go home!
Custodian of the Crypto Assets
Handling the custody of this ETP is none other than Fidelity Digital Assets, ensuring that your Bitcoin is in safe hands. The ETP is backed by actual Bitcoins, and it will be centrally cleared with Eurex Clearing. Sounds fancy, right?
Breaking Down the Costs
This innovative financial product comes with a total expense ratio of 0.75%. That means you can hop on the Bitcoin rollercoaster ride without completely emptying your wallet. At the time of publication, FBTC was trading at approximately 3.83 euros (that’s about $4.36) while Bitcoin itself was enjoying the spotlight at $43,590—a true bull in the china shop!
A Spotify Playlist for Cryptos
The Xetra exchange doesn’t just stop at Bitcoin; oh no! It offers a delightful buffet of cryptocurrencies, including Bitcoin Cash (BCH), Ether (ETH), Litecoin (LTC), and many more. It’s like a Spotify playlist for your investment cravings. Just last November, Invesco jumped on the bandwagon and launched its own BTC ETP under the catchy ticker BTIC.
Fidelity’s Background
Founded in 1969, Fidelity International is a subsidiary of Fidelity Investments and, as of December 31, 2021, managed over a whopping $812 billion in assets. The firm has been dipping its toes into the crypto pond, having invested in various crypto-related companies worldwide, including the Hong Kong-based BC Group. However, its U.S. counterpart has been facing regulatory hurdles—with the Securities and Exchange Commission recently rejecting Fidelity’s application for the Wise Origin Bitcoin Trust spot ETF. Timing is everything, eh?
