Fidelity, Stack Funds partner to serve growing Bitcoin demand in Asia

  • Fidelity partners Stack Funds to facilitate Bitcoin adoption by institutions in Asia.
  • The development is aimed at providing an adequately secured environment for digital assets.

In recent months, institutions have been slowly getting into crypto. The lack of security and risk-mitigated platforms for Bitcoin (BTC) and other cryptocurrencies has been a historical challenge against crypto adoption, especially by institutional investors. However, Stack Funds has collaborated with Fidelity Digital Asset Services for the sole purpose of addressing these challenges to facilitate the growing adoption in Asia. 

Fidelity assists crypto adoption in Singapore

According to the information on Thursday by BNN Bloomberg, the Singapore-based institutional-grade digital assets investment platform, Stack Funds partnered with the company to serve the growing interest in digital currencies amongst the deep-pocketed investors across Asian countries. Under the partnership, Stack Funds will provide FDAS’s secure custody services to its institutional clients. 

Stack admitted to seeing increased demand for Bitcoin and other cryptos from the family offices and high-net-worth investors in Asia. By partnering with Fidelity, the primary objective is to provide risk-mitigated services for the investors whilst appealing to them through the involvement of Fidelity. The co-founder of Stack Funds, Michael Collett, disclosed this during an interview.

Stack lowers the barrier to institutional adoption

According to Fidelity’s Christopher Tyrer, “there is a critical need for platforms which have a deep understanding of what local and regional investors are looking for” that “has historically been lacking in the digital asset space.” Security of assets is referred to as one of the challenges, thereby resulting in Stack’s partnership today.

The company noted that all the digital currency would be secured with assistance from Fidelity, and they will be audited on a monthly basis. Also, Stack intends to protect the investors’ assets through insurance coverage, redemptions, and weekly contributions, according to the report. Fidelity is one other financial company that is actively engaged in cryptocurrency. Recently, the company filed to the US Security and Exchange Commission (SEC) to launch an institutional Bitcoin fund.

About the author