Fidelity Digital Assets has launched its native stablecoin, FIDD, on the Ethereum blockchain with an initial supply exceeding $59 million.
The firm said the asset targets on-chain payments and institutional settlement under a regulated structure.
Fidelity confirmed that the stablecoin is fully backed by US dollars held at accredited financial institutions.
The launch places Fidelity among major financial firms issuing compliant digital dollars.
FIDD Stablecoin debuts with Ethereum integration
Fidelity Digital Assets confirmed that it minted the FIDD stablecoin directly on Ethereum.
The company said the blockchain choice supports interoperability and established on-chain infrastructure.
The initial issuance exceeds $59 million, with tokens concentrated across limited wallets. Fidelity stated that FIDD is now live and supports transactional activity.
The firm said FIDD complies with the GENIUS Act, which governs stablecoin issuance and reserve management.
Under the framework, issuers may back tokens with cash or US Treasury bills. Fidelity confirmed that US dollar reserves remain stored at regulated banking institutions.
The structure allows the issuer to maintain compliance while managing reserve-backed earnings.
Mike O’Reilly, President of Fidelity Digital Assets, said the company has long supported stablecoin innovation. He said Fidelity has researched stablecoin models and their benefits for years.
O’Reilly stated that FIDD will function as both a payment method and a settlement asset. He added that the token aligns with Fidelity’s broader digital asset roadmap.
Institutional Access, Custody, and Market Context
Fidelity said it will support FIDD across its platforms, including Fidelity Crypto and Fidelity Crypto for Wealth Managers.
The firm confirmed that purchases and redemptions will occur internally. External trading will take place through major cryptocurrency exchanges.
Fidelity also confirmed that FIDD remains fully transferable through Ethereum-based wallets.
The company said it will provide custody services for FIDD and manage associated reserves.
Fidelity already operates regulated digital asset custody services. It plans to extend those services to support stablecoin holdings.
The firm said this setup supports both direct clients and institutional participants.
Fidelity positioned FIDD for institutional settlement and on-chain payment use cases. It highlighted Ethereum compatibility as key to infrastructure access.
However, the firm said liquidity and adoption will build gradually.
FIDD enters a stablecoin market dominated by USDT and USDC. Both tokens expanded supply and usage over the past year.
Fidelity said clearer regulation has encouraged new compliant issuers. Several newly launched stablecoins, however, have struggled with liquidity and demand.
Fidelity’s earlier blockchain efforts provide context for the launch. The Fidelity Digital Interest Token debuted in September 2025.
That token reached $264 million before redemptions reduced its value. Current assets under management stand at approximately $161 million.