Fidelity launches FIDD stablecoin with over $59M supply on Ethereum

TLDR

• Fidelity Digital Assets has officially launched the FIDD stablecoin with an initial supply of over 59 million dollars.
• The FIDD stablecoin is now live on the Ethereum blockchain and is available for on-chain payments and institutional settlements.
• Fidelity confirmed that FIDD is fully backed by US dollars held in accredited banks and complies with the GENIUS Act.
• Mike O’Reilly stated that Fidelity is committed to stablecoin development and has researched the digital asset space for years.
• The FIDD token will be available through Fidelity Digital Assets, Fidelity Crypto, and other institutional platforms.

Fidelity Digital Assets has officially launched its native stablecoin FIDD on the Ethereum blockchain, following a recent announcement. The asset began with an initial issuance of over $59 million and is now live for transactions. The token is fully backed by US dollars held in accredited financial institutions.

FIDD Stablecoin Launches with Initial Supply and Ethereum Integration

Fidelity introduced the FIDD stablecoin as part of its broader expansion into the blockchain and digital payments market. The company minted the token on Ethereum, aligning with the industry’s move toward on-chain settlement. The initial supply exceeds $59 million but remains largely limited in wallet distribution.

Mike O’Reilly, President of Fidelity Digital Assets, emphasized the company’s dedication to digital innovation. “We have spent years researching and advocating for the benefits of stablecoins,” he said. The token aims to serve as both a payment method and a settlement tool for institutional clients.

The FIDD stablecoin complies with the regulatory framework set by the GENIUS Act, allowing for secure and compliant issuance. It is backed by US dollar reserves stored in regulated banks. The GENIUS Act also permits backing by US Treasury bills, enhancing issuer control over earnings.

Utility, Custody, and Institutional Access

Fidelity has confirmed that FIDD will be available across its platforms, including Fidelity Crypto and Fidelity Crypto for Wealth Managers. Purchase and redemption will be handled internally, while external trading will occur through major cryptocurrency exchanges. The asset is fully transferable within Ethereum-based wallets.

The company will also offer custodian services for holding FIDD and managing associated reserves. This includes both direct and institutional client servicing. As Fidelity already operates digital asset custody, it expands its offerings by adding a compliant stablecoin.

FIDD is designed for on-chain payments and institutional use cases, especially for settlement across digital asset platforms. Its compatibility with Ethereum ensures wide infrastructure support. Despite the launch, liquidity and adoption are expected to build gradually.

Stablecoin Ecosystem Sees New Entrants with FIDD in Focus

The FIDD stablecoin enters a market dominated by USDT and USDC, both of which have seen growth over the past year. New regulations like the GENIUS Act have encouraged more issuers to develop compliant tokens. FIDD is Fidelity’s answer to the emerging demand for tokenized dollars with regulatory clarity.

Fidelity joins the list of fintechs and banks offering branded stablecoins, focusing on secure reserves and usage controls. However, like many new stablecoins, FIDD must still prove its real-world utility and demand. Several newly launched stablecoins have remained underutilized due to limited liquidity or application.

The Fidelity Digital Interest Token, launched in September 2025, demonstrates the firm’s ongoing blockchain efforts. That token reached over $264 million in total value before dropping due to redemptions. Its current assets under management stand at approximately $161 million.

The post Fidelity launches FIDD stablecoin with over $59M supply on Ethereum appeared first on Blockonomi.