Fidelity's stablecoin FIDD goes live for retail and institutional investors

Fidelity Investments has launched its U.S. dollar-backed stablecoin, Fidelity Digital Dollar (FIDD), making it available to both retail and institutional investors after previously saying it would go live in the coming weeks.

FIDD is issued by Fidelity Digital Assets, National Association, on Ethereum, and can now be purchased or redeemed directly with Fidelity for $1 across the Fidelity Digital Assets, Fidelity Crypto, and Fidelity Crypto for Wealth Managers platforms. Fidelity said the stablecoin will also trade on external crypto exchanges where it is listed, and holders can transfer FIDD to any Ethereum mainnet address. Reserve assets backing FIDD are managed by Fidelity Management & Research.

The launch follows growing regulatory clarity around stablecoins in the U.S. The passage of the GENIUS Act last summer established a federal framework for stablecoins, reducing legal uncertainty for traditional financial institutions considering issuance.

"The recent passage of the GENIUS Act was a significant milestone for the industry in providing clear regulatory guardrails for payment stablecoins," Mike O'Reilly, president of Fidelity Digital Assets, said in a statement.

Fidelity had been exploring a stablecoin offering since last year, and the rollout marks a further step in its expansion beyond crypto investment products into issuing onchain financial instruments. The firm has been building digital asset infrastructure, including for custody, for years, and was among the first traditional asset managers to offer institutional bitcoin exposure.

Fidelity's move comes as competition in the stablecoin market accelerates. Payments firms, banks, and fintech companies are increasingly positioning stablecoins as a faster and cheaper alternative to traditional payment rails, while also exploring and launching tokenized real-world assets and other blockchain-based financial products.

"At Fidelity, we have a long-standing belief in the transformative power of the digital assets ecosystem and have spent years researching and advocating for the benefits of stablecoins," O'Reilly said.