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Can You Trade Crypto With Fidelity? A Detailed Guide

In 2021, Fidelity Investments in the financial world introduced its crypto service, providing access to trade crypto with Fidelity for approximately 40 million individual clients.

This move sparked interest among investors, prompting the question? Can you trade crypto with Fidelity?

So, keeping in mind all your needs here, I come up with a detailed guide about it.

Understanding The Fidelity Crypto Product

Cryptocurrency investments aren’t one-size-fits-all, they come with high risks, volatility, and complexity.

Fidelity crypto product aims to simplify this process, offering a user-friendly experience. Starting with the selection of cryptocurrencies, it jumps to investors curious about crypto, familiar with Fidelity, and trusting the company with their investments.

Key Factors to Trade Crypto With Fidelity

Commission-Free Trading

Fidelity promotes “commission-free” crypto trading, but it’s crucial to understand that it doesn’t equate to entirely free trading. Fidelity takes a spread of up to 1% on crypto trades. This is still reasonable compared to competitors like Coinbase, which charges fees exceeding 1%, and other services with potentially higher fees.

Funding Your Fidelity Crypto Account

If you already have a brokerage or cash management account with Fidelity, funding your Fidelity Crypto account is seamless. Money transfers from existing accounts are straightforward, with no minimum deposit required to open a crypto trading account. Fidelity specifies that the minimum crypto purchase is just $1, aligning with industry standards.

Creating a Fidelity Account

For those without an existing Fidelity account, acquiring crypto involves creating and funding an account, such as a brokerage or cash management account. Understanding these details helps in making informed decisions about utilizing Fidelity’s crypto services.

Exploring Fidelity’s Bitcoin ETF

Fidelity Bitcoin ETF – Wise Origin Bitcoin Trust (FBTC)

Fidelity offers a Bitcoin ETF, the Wise Origin Bitcoin Trust (FBTC). This ETF joins the ranks of approved Bitcoin investment options, presenting an alternative for investors alongside other notable ETFs in the market.

Comparing Bitcoin ETFs

Aside from Fidelity’s FBTC, investors can explore other Bitcoin ETFs such as Grayscale Bitcoin Trust (GBTC), BlackRock’s iShares Bitcoin Trust (IBIT), Bitwise Bitcoin ETF (BITB), ARK 21Shares Bitcoin ETF (ARKB), Invesco Galaxy Bitcoin ETF (BTCO), VanEck’s Bitcoin Trust (HODL), and Franklin Templeton’s Franklin. This variety allows investors to choose the most suitable option for their preferences.

How to Start Investing in Bitcoin Through Fidelity

Opening a Fidelity Crypto Account

Getting started with trading on Fidelity involves a straightforward process. Open a Fidelity Crypto account, a quick task that takes only a few minutes.

Eligible Brokerage Account

If you don’t have one already, Fidelity assists in opening an eligible brokerage account. This account is crucial for funding your new crypto account, creating a seamless connection between your investments.

Placing Your Order

Once both accounts are set up, inform Fidelity about your desired cryptocurrency transaction. This can be done through a market order or a limit order, based on your specific preferences and strategies.

Read More: Guide About Crypto TradeStation Trading Platform Products And Services

Wrap-Up To Trade Crypto With Fidelity Guide

In conclusion, trade crypto with Fidelity provides a user-friendly experience for investors seeking exposure to the crypto market. The streamlined account setup process, coupled with commission-free trading and a selection of popular cryptocurrencies, positions Fidelity as an accessible option for both novice and experienced investors.

Farman Bangash

I have had a keen interest in the world of cryptocurrency and blockchain technology since 2013. My entrepreneurial drive led me to create CryptoGuideToday, a blog dedicated to providing comprehensive coverage of all things related to blockchain and cryptocurrencies. My goal is to educate and inform people about these technologies and provide valuable insights. I am a firm believer that self-education is crucial for achieving success in this field.

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