Fidelity launches crypto IRAs, allowing retirement investment in Bitcoin, Ether, and Litecoin

Fidelity Investments has introduced an individual retirement account (IRA) that permits private investors to invest in cryptocurrencies under its web3-focused subsidiary, Fidelity Digital Assets. According to the company’s website, investors can add virtual assets to their retirement portfolio through Fidelity Crypto for IRAs . However, only Bitcoin, Ether, and Litecoin are the assets available now. Fidelity launches crypto IRAs to quench its growing desire to make cryptocurrency investments There are three types of account registrations for IRAs: Fidelity Crypto Rollover IRA, Fidelity Crypto Traditional IRA, and Fidelity Crypto Roth IRA. Access to these accounts is also restricted. The restrictions indicate that an investor must be a citizen of the United States and at least 18 years old. A Fidelity representative stated that the firm was committed to offering investment products and solutions to respond to its customers’ ever-evolving needs and interests and providing education and support. Moreover, reliable sources previously reported that the introduction of Fidelity’s IRAs with a crypto focus came after the introduction of a number of digital asset investment vehicles, including Volatility Shares’ two exchange-traded funds that track the performance of Solana and proposed funds that track Litecoin, BNB, PENGU, and other tokens. Based on market capitalization, Bitcoin, Ethereum, and Litecoin rank first, second, and twenty-third, respectively. Before introducing these IRAs, Fidelity Investments had previously concentrated on the token market Fidelity and competitors race to enter the stablecoin market Fidelity Investments was also reviewing the tokenized U.S. Treasury market and testing its own stablecoin in March. This move started after Fidelity filed a request to launch a tokenized version of its U.S. dollar money market fund a few days ago. In addition, an insider said Fidelity Digital Assets was testing a stablecoin it had developed. However, another source cited Fidelity Investments—a $5 trillion asset manager with a crypto focus—as saying it did not currently plan to launch the token. Additionally, the cryptocurrency custodian BitGo introduced its USDS stablecoin in January, and the Trump-affiliated World Liberty Financial decentralized finance project announced on March 25 that it would introduce a USD1 stablecoin that is dollar-pegged. Thus, it is worth noting that stablecoins have seen increased usage and expansion among cryptocurrency owners since they were first introduced in 2014. Several companies, including Fidelity, with a background in launching dollar-backed tokens in the United States, are competing to enter the space ahead of lawmakers’ efforts to establish clearer rules for stablecoin issuers. President Trump similarly called for “simple, common-sense rules” for stablecoins at a New York crypto conference. He said the tokens would aid “the dominance of the U.S. dollar.” Last month, the U.S. Senate Banking Committee voted to advance the bipartisan Genius Act, legislation that would create new stablecoin regulations. However, the bill isn’t expected to gain much support in the Senate. Cryptopolitan Academy: Tired of market swings? Learn how DeFi can help you build steady passive income. Register Now