Fidelity Digital Asset Services Granted NYDFS Trust Company Charter
On November 19, 2019, the New York Department of Financial Services (NYDFS) granted a limited liability trust company charter to Fidelity Digital Asset Services, LLC, a subsidiary of Fidelity Investments. The charter authorizes the entity to provide virtual currency custody and execution services specifically for bitcoin. Fidelity Digital Assets had been building out its institutional crypto infrastructure to serve hedge funds, family offices, and other sophisticated investors.
The NYDFS trust charter provides a regulated framework for Fidelity to operate in New York, one of the most important financial markets globally. This approval is notable as it represents a traditional financial services giant receiving regulatory clearance to embed digital asset services into its broader institutional offering. The trust company structure, while not a full bank charter, provides a clear regulatory pathway for custody operations.
Financial terms were not disclosed. The move underscored growing institutional demand for regulated crypto custody solutions.
- Traditional asset managers embedding crypto custody signals institutional maturation of digital assets
- State-level trust charters serve as a regulatory bridge for financial firms entering crypto before federal frameworks are established