Fidelity wins bitcoin trading and custody licence in New York

[tippytoes]

@exstasie
Inventing the cryptocurrency to avoid the finance gangstas but finally, in 2019 the same gangstas infested us!

To me, Fidelity Inv. is like Blackrock, cancer in the finance industry, not sure if it's a good thing to see them appearing in the crypto space.
Also, you know, Fidelity manages large pension funds. I can't believe they will invest people's money to gamble in something as volatile as the crypto market is. All this with the money for the pension of senior people.

They should have some sort of fallback or agreement with their stakeholders. They should be clear with the Terms and Conditions and laid out clear to their clients. Transparency is always the best to avoid confusion later on. Being clear on their terms and understandable by layman's terms will make their life's easier as well as to their clients.

Though it is another addition to bitcoin's portfolio, the impact is still unseen on what it can do to its stakeholders.

[exstasie]

@exstasie
Inventing the cryptocurrency to avoid the finance gangstas but finally, in 2019 the same gangstas infested us!

To me, Fidelity Inv. is like Blackrock, cancer in the finance industry, not sure if it's a good thing to see them appearing in the crypto space.

I suppose I'm a nihilist on these matters. It's not a good or a bad thing.......it's just inevitable. One of the legacy giants was bound to do it, and it might as well have been Fidelity given that they've been working with BTC since 2014 or so.

Also, you know, Fidelity manages large pension funds. I can't believe they will invest people's money to gamble in something as volatile as the crypto market is. All this with the money for the pension of senior people.

The first steps are probably brokering and custodying on behalf of institutional clients. Maybe down the road though, yes. Honestly I think BTC won't look so risky a decade from now, from a pensioner's point of view. Time will tell!

[jseverson]

The first steps are probably brokering and custodying on behalf of institutional clients.

Yep, they've confirmed as much:

We look forward to making our custody and trade execution services available to firms based in New York, the leading financial center in the U.S. We have experienced a high interest level from these firms and anticipate that their increased involvement in this industry would enable more activities and development across the spectrum.

As far as this being a good or bad thing, I completely agree that it ultimately doesn't matter because it's inevitable. There's nothing in place to stop this from happening, and given Bitcoin's anarcho-capitalistic qualities, I've always found that the idea that Bitcoin is somehow for the little guys is quite misguided. I personally don't like it, but at least it confirms that there truly is some institutional demand.

[CarnagexD]

@exstasie
Inventing the cryptocurrency to avoid the finance gangstas but finally, in 2019 the same gangstas infested us!

To me, Fidelity Inv. is like Blackrock, cancer in the finance industry, not sure if it's a good thing to see them appearing in the crypto space.

I suppose I'm a nihilist on these matters. It's not a good or a bad thing.......it's just inevitable. One of the legacy giants was bound to do it, and it might as well have been Fidelity given that they've been working with BTC since 2014 or so.

If they are already working with bitcoin since 2014 are we going to get a massive pump? considering that Fidelity is a giant company and has a thousands of wealthy investors or can we atleast see the impact of this news to bitcoin price? Imo it will grealy affect since people these days are more open about cryptocurrencies specially bitcoin. You're right, Institutions like this shoudl also be wary of the trends in regards with investment. Cryptocurrency is booming so why noy said the fidelity.

Also, you know, Fidelity manages large pension funds. I can't believe they will invest people's money to gamble in something as volatile as the crypto market is. All this with the money for the pension of senior people.

The first steps are probably brokering and custodying on behalf of institutional clients. Maybe down the road though, yes. Honestly I think BTC won't look so risky a decade from now, from a pensioner's point of view. Time will tell!

With fidelity's wide coverage it will be more easy for them to convince their clients having this kind of investments. I think they will start on life inaurances, wealth management and annuities. Bitcoin would be much known and used, but I'm afraidwhat could the government do when this happens.

[Theb]

~snip~

The NYDFS trust license apparently encompasses the BitLicense, and more:

In the report, lawyer Arthur Long said that the trust license is broader than the BitLicense, NYDFS’ typical crypto license, enabling its bearer to operate more financial services such as financial advice.

This is big. It's refreshing to see that a legacy giant like Fidelity has major plans for the Bitcoin market. I think a lot of Wall Street dinosaurs have been waiting for a legacy institution like them before jumping in, for custody and regulatory risk reasons.

The stage is being set for the next bubble.

From what I'm reading this is still not official yet and Fidelity itself haven't confirmed it's existence even if it is I don't see them being exempt from another kind of license because their license is considered to be "broader", it maybe broader but it doesn't make Bitlicenses as a second option for New Yorkers to have if they didn't get the NYDFS license, because if they did they are just admitting that Bitlicenses are worthless because a NYDFS which is broader exists.

[exstasie]

From what I'm reading this is still not official yet and Fidelity itself haven't confirmed it's existence even if it is I don't see them being exempt from another kind of license because their license is considered to be "broader", it maybe broader but it doesn't make Bitlicenses as a second option for New Yorkers to have if they didn't get the NYDFS license, because if they did they are just admitting that Bitlicenses are worthless because a NYDFS which is broader exists.

The filings are public. Nothing about this is unconfirmed.

BitLicense isn't worthless. It just doesn't provide all the privileges that a trust license does. Both licenses are issued by the NYDFS.

Bakkt also pursued (and was granted) a trust license from NYDFS rather than a BitLicense so this isn't a new idea: https://www.reuters.com/article/us-crypto-currencies-bakkt/new-york-financial-regulator-approves-bakkt-trust-license-idUSKCN1V61J4

[Theb]

From what I'm reading this is still not official yet and Fidelity itself haven't confirmed it's existence even if it is I don't see them being exempt from another kind of license because their license is considered to be "broader", it maybe broader but it doesn't make Bitlicenses as a second option for New Yorkers to have if they didn't get the NYDFS license, because if they did they are just admitting that Bitlicenses are worthless because a NYDFS which is broader exists.

The filings are public. Nothing about this is unconfirmed.

BitLicense isn't worthless. It just doesn't provide all the privileges that a trust license does. Both licenses are issued by the NYDFS.

Bakkt also pursued (and was granted) a trust license from NYDFS rather than a BitLicense so this isn't a new idea: https://www.reuters.com/article/us-crypto-currencies-bakkt/new-york-financial-regulator-approves-bakkt-trust-license-idUSKCN1V61J4

I don't think that we are on the same page since you are talking about a trust license here which is only applied to the corporation itself operating as a trust company and a Bitlicense can be applied by both consumer and producer and since individuals cannot get trust licenses for themselves it still makes them have an obligation to apply for a Bitlicense which was my point on my first post on this thread, I really didn't talk about Fidelity applying for Bitlicenses in the first place.

[kotik085]

Boston holds a position and this should be taken into account in cryptocurrency, this is for the good. Boston players want to see, and want to see progress in general.