Fidelity Investments, one of the world's largest asset managers, has officially launched its own stablecoin, the Fidelity Digital Dollar (FIDD). The new stablecoin is pegged 1:1 to the U.S. dollar and is now live on the Ethereum mainnet.

This move marks a significant entry by a traditional financial institution into the stablecoin space. FIDD is issued by Fidelity Digital Assets, NA, a nationally chartered trust bank, lending it a strong regulatory foundation. The stablecoin is fully backed by reserves of cash, cash equivalents, and short-term U.S. Treasuries managed by Fidelity, with the firm committing to daily transparency reports on circulating supply and reserve asset value.

The launch positions Fidelity to compete directly with established stablecoins like Circle’s USDC and Tether’s USDT. By targeting both institutional settlement and retail payments, Fidelity is signaling a long-term strategy to build foundational infrastructure for a new generation of onchain financial products. The initiative follows the recent passage of the GENIUS Act, which provided clearer regulatory guidelines for payment stablecoins in the U.S.
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https://www.fidelitydigitalassets.com/stablecoin?ccsource=owned_social_fidd_x