Fidelity tests stablecoin amid SOL ETF regulatory test

Fidelity Investments is finalising a U.S. dollar-pegged stablecoin through its Fidelity Digital Assets division, according to a March 25 Financial Times report citing unnamed sources.

The $5.8 trillion asset manager’s move coincides with broader institutional crypto adoption under the Trump administration’s regulatory stance.

Fidelity also filed with the SEC to launch an Ethereum-based (CRYPTO:ETH) “OnChain” share class for its $80 million Fidelity Treasury Digital Fund (FYHXX), pending approval.

The tokenised share class aims to track transactions of the fund, which primarily holds U.S. Treasury bills.

The filing states the offering could take effect by May 30.

The stablecoin development follows Fidelity’s March 24 SEC filing for a Solana (CRYPTO:SOL)-based ETF, submitted via Cboe BZX Exchange.

“If approved, it would signal a maturing posture from the SEC that recognises functional differentiation across blockchains,” Lingling Jiang, partner at DWF Labs, stated, calling the SOL ETF application a “regulatory litmus test."

Jiang added such approval could accelerate compliant financial products tied to next-gen assets, increasing market velocity.

Industry observers anticipate U.S. stablecoin legislation, potentially finalised within two months.

The GENIUS Act would mandate full collateralisation and AML compliance for stablecoin issuers.

Bo Hines, executive director of the president’s Council of Advisers on Digital Assets, noted the bill’s progress toward the president’s desk.

Custodia and Vantage Bank recently launched a bank-issued stablecoin on Ethereum, described as a “real dollar” rather than a synthetic one.

Federal Reserve Governor Christopher Waller previously criticised stablecoins as synthetic dollars in a February speech.

Fidelity’s initiatives reflect growing institutional interest in crypto amid shifting regulatory priorities.

While the SEC’s stance on SOL ETFs remains unclear, the filings highlight ongoing efforts to bridge traditional finance with blockchain infrastructure.

At the time of reporting, the Solana (SOL) price was $136.12.