Fidelity Investments has reportedly completed testing of a US-dollar pegged stablecoin. This is the latest move by the company into digital assets, amid the more favorable regulatory environment for crypto under Trump.
Fidelity Digital Assets’ cryptocurrency division will launch the stablecoin. according According to an anonymous source cited in a Financial Times report dated March 25,
According to reports, the stablecoin is part of a wider effort by Fidelity Asset Management into cryptocurrency-based services. Fidelity has also launched an Ethereum-based cryptocurrency. “OnChain” Share class is the name of its US Dollar money market fund.
Fidelity filed a filing on March 21, 2019 with US Securities regulator stated OnChain would track the transactions of Fidelity Treasury Digital Fund, an $80 Million fund. consisting The US Treasury bills are almost exclusively used.
Fidelity has said that while the OnChain Share Class filing is currently awaiting approval by regulators, it will be effective on May 30.
Fidelity has filed a registration application for a tokenized Fidelity Treasury Digital Fund. Source: Securities and Exchange Commission
More US banks are now offering cryptocurrency as a product. President Donald Trump’s election A shift in the policy was signaled.
Custodia Bank and Vantage Bank launched the “America’s First-ever bank-issued stablecoinOn the permissionless Ethereum chain, which will function as a “real dollar” And not a “synthetic” Christopher Waller is the Governor of Federal Reserve Board called Stablecoins were discussed in an address on February 12.
Source: Caitlin Long
Trump had previously stated that his administration intended to implement crypto policy a national priority And the US has become a global center for Blockchain innovation.
Related: Trump turned crypto from ‘oppressed industry’ to ‘centerpiece’ of US strategy
Fidelity’s SOL is a spot-based application. “regulatory litmus test”
Fidelity’s push for stablecoins comes after Cboe BZX Exchange – a US Securities Exchange – requested permission to include a proposed Fidelity Exchange Traded Fund (ETF), holding Solana.SOL)According to filings dated March 25,.
According to Lingling Jing, partner of DWF Labs Crypto Venture Capital firm, the filing could provide insight into SEC’s regulatory approach towards Solana ETFs.
“This filing is also more than just a product proposal — it’s a regulatory litmus test,” Jiang, according to Cointelegraph.
“If approved, it would signal a maturing posture from the SEC that recognizes functional differentiation across blockchains.”
“It would accelerate the development of compliant financial products tied to next-gen assets — and for market makers, that means more instruments, more pairs, and ultimately, more velocity in the system,” Jiang added.
Related: SEC dropping XRP case was ‘priced in’ since Trump’s election: Analysts
Participants in the crypto-industry are currently awaiting US stablecoin The next possible legislation could come within the next two weeks.
The GENIUS Act (Guiding and Establishing National Innovation for US Stablecoins) would set up guidelines for collateralization for stablecoin issues while requiring compliance with Anti-Money Laundering legislation.
Bo Hines said that the bill for stablecoins may reach the president in two months. Bo Hines was the executive director of President’s Council of Advisers on Digital Assets.
Magazine: SEC’s U-turn on crypto leaves key questions unanswered
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Source: cointelegraph.com
