Fidelity International is launching the Fidelity Physical Bitcoin ETP (FBTC) for its professional and institutional clients in Europe
Fidelity International has entered the cryptocurrency space with the launch of the joint-cheapest bitcoin exchange-traded product (ETP) in Europe.
Bermuda-based Fidelity International, which manages roughly $800 billion in client assets, is launching the Fidelity Physical Bitcoin ETP (FBTC) for its professional and institutional clients in Europe.
Once a subsidiary of US-based Fidelity Investments, Fidelity International has operated independently of the company since 1980.
The Fidelity Physical Bitcoin ETP (FBTC) is listed on the Deutsche Boerse and Frankfurt Stock Exchange with a total expense ratio (TER) of 0.75%, the joint-cheapest on the European market along with SEBA Bank’s Bitcoin Tracker Certificate USD (SBTCU).
FBTC is set to list on the SIX Swiss Exchange in the coming weeks.
Physically backed, FBTC will be centrally cleared by Eurex Clearing with Fidelity Digital Assets acting as custodian.
Brown Brothers Harriman will act as the administrator and transfer agent for the product.
Fidelity International said it launched FBTC for institutional and professional clients following a Fidelity Digital Assets survey which found 70% of institutional respondents expect to invest in digital assets in the future.
Christian Staub, managing director for Europe at Fidelity International, said: The underlying Distributed Ledger Technology (DLT) has the potential to revolutionise the financial system over time and disrupt many parts of the financial world with profound implications for investors.
Staub said: As this technology becomes increasingly accepted, our clients are rightly asking for an efficient way to benefit from this trend. FBTC offers clients an institutional quality solution to enter the market in a familiar, simple and secure way.
Despite the slew of spot crypto ETP launches abroad in recent months, the Securities and Exchange Commission has not yet approved a spot crypto ETF in the US. The agency denied Fidelity Investments’ Wise Origin Bitcoin Trust last month.
