Fidelity Investments announced it will launch its first stablecoin, Fidelity Digital Dollar (FIDD), expanding its digital asset investment lineup with a fiat-backed token designed to maintain a one-dollar value per unit. The company said FIDD will be issued by Fidelity Digital Assets, National Association, with availability for retail and institutional investors expected in the coming weeks.
Fidelity said it will oversee coin issuance and manage reserve operations, positioning the product as a full-service stablecoin model supported across multiple Fidelity businesses. Reserve asset management will be conducted by Fidelity Management and Research Company LLC, leveraging the firm’s asset management infrastructure, while Fidelity Digital Assets will provide the operational backbone, the company describes as institutional-grade security supported by more than a decade of internal research and development in digital assets.
According to Fidelity, eligible customers will be able to purchase or redeem FIDD tokens from Fidelity for one U.S. dollar through Fidelity Digital Assets, Fidelity Crypto, and Fidelity Crypto for Wealth Managers platforms. Fidelity also said FIDD will be available for purchase on major exchanges where it is listed, and holders will be able to transfer FIDD to any Ethereum mainnet address, subject to restrictions on addresses Fidelity Digital Assets has frozen or restricted on the blockchain.
Fidelity said it will publish daily disclosures for FIDD’s circulating supply and reserve net asset value as of the close of each business day. The firm framed the launch as arriving amid growing scale in stablecoins and an improved regulatory backdrop, pointing to the recent passage of the GENIUS Act as providing clearer guardrails for payment stablecoins.
Fidelity also highlighted its longer-term digital asset buildout, noting the firm has been developing infrastructure, products, and services in the space since 2014, spanning areas such as research, trading, custody, and investment products for intermediaries, institutions, and retail investors.
KEY QUOTE:
“At Fidelity, we have a long-standing belief in the transformative power of the digital assets ecosystem and have spent years researching and advocating for the benefits of stablecoins. As a leading asset manager and a digital assets pioneer, Fidelity is uniquely positioned to provide investors with on-chain utility via a digital dollar.”
“The recent passage of the GENIUS Act was a significant milestone for the industry in providing clear regulatory guardrails for payment stablecoins. We’re thrilled to launch a fiat-backed stablecoin at a time of increasing regulatory clarity to better support our customers’ needs, provide choice in the marketplace, and enable continued progress towards a more efficient financial system.”
Mike O’Reilly, President of Fidelity Digital Assets
