Fidelity Investments, the world's third largest mutual fund with assets under management reaching US$4.9 trillion, said in a recent interview that the company's head of digital asset management, Cynthia Lo Bessette, is studying tokenized products.
In addition to on-chain U.S. debt and credit, stablecoins are also included. The interview also raised the question of whether they are optimistic about the launch of other cryptocurrency ETFs and whether Ethereum ETFs can be pledged on the chain.
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ToggleNo demand for the next cryptocurrency ETF is currently visible
Cynthia Lo Bessette said in the interview that overall the current market acceptance of Ethereum and Bitcoin spot ETFs is quite satisfactory. “The way we think about the product roadmap is mainly based on the needs of our customer base and how we evaluate the market to support such new technologies. "It's driven by the capabilities of the product," she said, but she doesn't yet believe there is enough demand for other cryptocurrency ETFs. In a recent interview, she said: "It's not clear whether there will be significant demand later." Just like SOLANA.
Fidelity’s Wise Origin Bitcoin Fund is the second-largest exchange-traded product of its kind and is at least the fifth-most traded ETF in the U.S. this year. The fund had nearly $12 billion in assets under management as of July 31, while the Fidelity Ethereum Fund has received $259 million in funding since its launch in early July.
“What’s been very surprising to many of us is the speed of this need is really evident,” Cynthia Lo Bessette said. “Given Ethereum’s overall market capitalization and size compared to Bitcoin, asset growth was generally in line with our expectations.”
As the leader of Proof of Stake (PoS) public chains, Ethereum’s total TVL lock-up volume currently accounts for 57% of all blockchains. Staking is how Ethereum maintains network security and verifies transactions, and it is also how it earns rewards from the Ethereum network. Cynthia Lo Bessete also mentioned that while the U.S. Securities and Exchange Commission (SEC) has not yet approved an ETH ETF that can pledge assets held in the fund, this may change in the future, as staking is part of the Ethereum ecosystem. important component.
Believe that the open asset pledge of Ethereum ETF will happen
"The question is not if this will happen, but when." She noted that her team has had "constructive conversations" with SEC staff about the possibility of staking ETFs in ETFs.
Additionally, Lo Bessette said the company is discussing the possibility of "enhancing the way our products are currently traded" through in-kind donations. Currently, all BTC and ETH ETFs on the market must be settled in cash.
