US Asset Manager Fidelity explores potential Stablecoin launch

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Fidelity Investments is one of the largest asset managers in the United States and is exploring the possibility of launching its own stablecoins after the successful launch of Ethereum and Bitcoin Exchange Trading Funds (ETFS) last year.

Stablecoins’ popularity surges: $238 billion in circulation

Stablecoins is a unique category of cryptocurrency designed to maintain stable value, usually fixed to the US dollar at a 1:1 ratio. This stability makes them an attractive choice for traders who want to move their funds between different ones Cryptocurrency No volatility is often associated with the cryptocurrency market.

According to Coingecko, the popularity of Stablecoins has been in circulation in recent years and is currently in circulation about $238.5 billion, especially with the support of President Donald Trump and the current Republican Congress.

As mentioned earlier Report At Bitcoin Home, significant progress has been made on Stablecoin legislation in the past month, with the next vote expected to be approved next week in the Senate and House of Representatives.

Tether is a company-issued by Stablecoin based in El Salvador, leading the stabilization market with its token valued at over $140 billion. Tether achieved success by raising interest on reserves that support coins, thus demonstrating the potential profitability of Stablecoin issuance.

Fidelity confirms Stablecoin’s trial as Trump reveals plans for his dollar coin

A Fidelity spokesman confirmed to the Financial Times that the company’s digital assets division is actively testing Stablecoin, but stressed that there is no immediate plan to release a public release.

Financial Times Report Fidelity’s exploration of Stablecoin development highlights the company’s position in the broader trends of financial institutions that have ripped into the cryptocurrency industry.

Recently, President Donald Trump also made headlines with support for the cryptocurrency industry Unveiling plan Through his own dollar stability, through his adventure world, through free finance.

Fidelity’s exploration of stablecoins is not an isolated event. Other asset managers have also ventured into the cryptocurrency space, especially by launching exchange-traded funds (ETFs), designed to track the price of Bitcoin.

The products received regulatory approval in January 2024, paving the way for wider institutional participation in the cryptocurrency market, not only financial players, but also inflows from U.S. states and pension funds.

In addition to its stability test, Fidelity also applied for the launch of tokenized money market funds, which will keep the buyer’s shares recorded in Blockchain In addition to traditional electronic records, it reflects the company’s commitment to integrating advanced technologies into its products.

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