• Launch Announcement: On January 28, 2026, Fidelity Investments announced the upcoming launch of its own stablecoin, the Fidelity Digital Dollar (FIDD).
• Issuance and Value: FIDD is issued by Fidelity Digital Assets, National Association (FDA/NA), and is redeemable 1:1 for U.S. dollars through Fidelity platforms, ensuring it maintains a stable value of $1 per unit.
• Platform Availability: In addition to Fidelity platforms such as Fidelity Digital Assets, Fidelity Crypto and Fidelity Crypto for Wealth Managers, FIDD will also be available on major exchanges where FIDD is listed.
• Network and Compliance: FIDD allows holders to transfer tokens to any Ethereum mainnet address, though Fidelity retains the ability to freeze addresses associated with illicit activity.
• Reserve Management: Reserves (cash and short-term U.S. Treasuries) will be managed by Fidelity Management & Research Company.
• Transparency Standards: Fidelity is also taking major steps towards transparency, releasing FIDD’s updated circulating supply and reserve net asset value at the close of every business day.
• Regulatory Catalyst: The launch follows the GENIUS Act of July 2025, which established the federal framework for “payment stablecoins.”

• “The recent passage of the GENIUS Act was a significant milestone for the industry in providing clear regulatory guardrails for payment stablecoins,” said Mike O’Reilly, President of Fidelity Digital Assets.

Institutional Settlement: The launch of FIDD represents a significant upgrade to the plumbing of global finance. While traditional wire transfers are still tethered to the constraints of the legacy banking clock, FIDD offers a bridge to a more efficient reality. It eliminates the friction of multi-day settlement cycles, ensuring that institutional liquidity is available instantly, 365 days a year, regardless of traditional banking hours.

Market Outlook: I expect we will see a wave of similar announcements for other ‘Big Wall Street’ institutions in the coming months. As firms like J.P. Morgan and Goldman Sachs continue to refine their own tokenized deposit projects, the pressure to offer a liquid, 24/7 settlement tool like FIDD will likely turn stablecoin issuance into a standard offering for the world’s largest custodians.