Fidelity: Pension Funds Eye Bitcoin Investments

Fidelity Investment explores Bitcoin for pension funds following Spot Bitcoin ETF success.

According to Fidelity, a $4.8 trillion asset management firm, pension funds are starting to investigate Bitcoin and other cryptocurrencies. Pension plans have reportedly expressed interest in investing in digital assets after the approvals of Spot Bitcoin ETFs earlier this year. 

Manuel Nordeste, vice president of Fidelity Digital Assets, disclosed the information. Wednesday, at an event in London, Nordeste stated that pension funds “have only recently begun to discuss crypto assets with their investment committees.”

According to Fidelity, Cryptocurrencies are Being Considered as Pension Funds

Fidelity was among several issuers responsible for the inaugural arrivals of Spot Bitcoin ETFs in the United States earlier this year. The US Securities and Exchange Commission (SEC) approved the investment offerings. Even after only five months of trading, they had demonstrated remarkable success. 

Nevertheless, the organization has recently deliberated on the possibility of broader incorporation of digital assets into conventional investment strategies. According to Fidelity, pension funds are specifically investigating Bitcoin and other cryptocurrencies.

The statement was issued less than a day after BlackRock expressed a comparable viewpoint. Regarding its Spot Bitcoin ETF, the prominent asset management firm announced it was conducting an educational dialogue with pension funds. 

Fidelity has demonstrated confidence in digital assets since establishing a dedicated division in 2018. Furthermore, in January of this year, the Fidelity Wise Origin Bitcoin Fund (FBTC) was established as the culmination of this interest.

Alone, pension funds in the United States manage assets over $10 trillion. Following this, declarations from BlackRock and Fidelity demonstrate that efforts are unquestionably being made to permit pension investments in these Bitcoin investment vehicles. The ultimate progression of this should generate substantial inflows.