Boston-based firm secures New York’s “okay”

Fidelity Digital Assets received a license from the New York State Department of Financial Services. The state regulator provided permission for the crypto-arm of Fidelity Investments to offer new services.

The company can now offer cryptocurrency trading and custody services to companies domiciled in New York. The firm says that it will target institutional investors. It will shy away from retail investors such as Robinhood and E*trade.

We have experienced a high-interest level from these firms and anticipate that their increased involvement in this industry would enable more activities and development across the spectrum the firm said on its website.

About Fidelity Digital Assets

Meanwhile, the crypto-arm launched in 2018. The company further combines the parent firm’s asset administration knowledge with digital asset security.

The new license also allows the arm to operate as a Limited Purpose Trust Company. This is a much broader classification than the traditional BitLicense offered by the state. This will allow the company to provide professional advice to its clients.

“We are seeing strong demand and greater diversity of client types,” Tom Jessop, president of Fidelity Digital Assets, said in a Reuters interview. “There are more traditional investors. When we started it was crypto funds and hedge funds.”

Related: Fidelity Investments Eliminates Commissions