Fidelity Investments, one of the largest asset managers in the U.S., is testing a U.S. dollar-pegged stablecoin, signaling another move by Wall Street into the crypto space. While there is no official launch date, the stablecoin is currently in an advanced phase of internal testing by Fidelity Digital Assets, a division that focuses on cryptocurrency-related services.
Key points:
The stablecoin would be pegged 1:1 to the U.S. dollar, designed to facilitate seamless transfers and stability within crypto markets.
This move follows a wider trend of institutional players entering the stablecoin market, especially after renewed interest sparked by supportive signals from President Trump’s administration.
The market for stablecoins is currently valued at around $239 billion, with Tether being the dominant player (~$140 billion).
Other U.S. firms, including Trump-backed World Liberty Financial, have also announced their own stablecoin plans (e.g., USD1).
In parallel, Fidelity also filed to launch a tokenized money market fund, combining traditional investment tools with blockchain infrastructure.
Why it matters: Fidelity’s move reinforces a major shift: stablecoins are becoming a core component of both retail and institutional finance. If launched, the Fidelity stablecoin could compete with USDC and Tether, while bridging the gap between traditional finance and decentralized systems. It also reflects growing interest among legacy institutions in tokenized finance (Real World Assets/“RWA”).
