Fidelity Crypto: Fees, Features and How It Stacks Up Against Other Exchanges
Introduction:Fidelity Investments has ventured into the cryptocurrency market with its Fidelity Crypto® platform, offering retail investors a way to trade digital assets like Bitcoin and Ethereum. In this article, we analyze the fees and features of Fidelity Crypto and compare how it stands against other popular crypto exchanges. By understanding Fidelity’s pricing and capabilities, investors can determine if it’s the right choice for their crypto needs.
Fidelity Crypto’s Fees and Trading Costs
One of thekeyselling points of Fidelity Crypto is its commission-free trading model. Unlike some exchanges that charge explicit trading fees, Fidelity Crypto does not charge a separate commission. Instead, the platform applies aspread of up to 1%on crypto trades. This means the price you pay (or receive) is slightly adjusted around the market price to compensate Fidelity. Importantly, even after accounting for this spread, Fidelity’s cost structure is relatively competitive. For example, Coinbase – one of the largest U.S. crypto exchanges – has a more complex fee schedule that can result infees between 1% and 4%for typical smalltransactions. In comparison, Fidelity’s ~1% effective fee is straightforward and often lower than what a casual user might pay on Coinbase’s standard platform.
Additionally, Fidelity Cryptohas no account fees or minimum balancesto maintain, aligning with Fidelity’s broader commission-free ethos. There is no charge to open a crypto account, and you can start trading with as little as$1as your initial crypto purchase. These factors put the company on even footing with most other leading exchanges.
Note:Fidelity Crypto initially launched in a limited number of U.S. states and has gradually expanded availability. By late 2025 it serves most states, though a few states remain unsupported pending regulatory approval. Investors should verify that their state is eligible for Fidelity Crypto before attempting to open an account.
Available Cryptocurrencies and Features
Fidelity has taken a conservative approach to the range of cryptocurrencies offered. As of 2025, Fidelity Crypto supports only a few of the most established coins – notably Bitcoin (BTC) and Ethereum (ETH), and it has also added Litecoin (LTC) – butdoes not offer hundreds of altcoinslike dedicated crypto exchanges do. These three are among the largest and most reputable cryptocurrencies, which aligns with Fidelity’s strategy to focus on assets that have clearer regulatory status (both BTC and ETH are generally not considered securities). However, this limited selection means investors seeking exposure to smaller-cap or emerging crypto projects will not find them on Fidelity’s platform. By contrast, Coinbase and other crypto-native exchanges list dozens or even hundreds of tokens, giving more variety (albeit with higher risk).
Aside from coin selection, Fidelity’s feature set is geared toward simplicity and security rather than advanced trading. The platformdoes not currently supportcomplex order types, margin trading, or staking/yield programs. In fact, Fidelity Crypto lacks certain features that power-users might expect: for example, itdoesn’t offer staking(where you can earn rewards on holdings) and it has a briefdaily maintenance window(around midnight ET) during which you can't place trades. These limitations may not impact long-term investors much, but active traders could find them restrictive. By comparison, some competitors like Kraken or Coinbase Pro offer advanced charting, a wider array of order types, and continuous 24/7 trading without planned downtime.
Integration with Fidelity’s Ecosystem
A notable advantage of Fidelity Crypto is its integration with Fidelity’s broader financial ecosystem. If you are already a Fidelity brokerage customer, thecrypto account is linked to your main account, making transfers between your bank or brokerage account and your crypto account seamless. You can view your crypto holdings alongside stocks, ETFs, and other investments in one dashboard. This one-stop oversight is convenient for investors who prefer centralized financial management. Moreover, funding the crypto account is straightforward: you can instantly move cash from your Fidelity brokerage or cash management account into crypto trading, with no extra fees or waiting for external transfers.
In terms of user experience, Fidelity’s platform is known for robust research and educational resources. Fidelity Crypto provides educational content and 24/7 customer support, reflecting Fidelity’s emphasis on investor guidance. However, the trading interface is designed to be beginner-friendly – it offers basic market and limit orders but not the in-depth technical analysis tools found on specialized exchanges. This simplicity is deliberate, catering to users who value a familiar, regulated environment over more experimental trading features.
How Fidelity Crypto Compares to Other Exchanges
When stacked against dedicated crypto exchanges, Fidelity Crypto has clearstrengths and weaknesses. On the upside, its fee (spread) is competitive and easy to understand, undercutting many big exchanges’ commissions for small trades. Its brand reputation and security focus may give new crypto investors more confidence, knowing their provider is an established financial institution. Additionally, being able to manage crypto within a traditional brokerage framework is a unique convenience that pure crypto companies can’t match.
On the downside, Fidelity’s limited selection of cryptocurrencies and absence of advanced features means that experienced crypto enthusiasts might find the platform too restrictive. For instance, an investor interested inDeFitokens or newer altcoins will still need accounts on exchanges like Coinbase, Kraken, or Binance.US to access those markets. Those platforms also offer features like staking (Coinbase lets U.S. users stake certain assets for yield) or more sophisticated trading interfaces. Therefore, Fidelity Crypto isbest suited for investors who primarily want exposure to Bitcoin and Ethereumwithin a familiar, regulated environment, and who are not seeking to frequently trade a long tail of altcoins.
It’s worth noting that Fidelity’s cautious approach could evolve over time.Competitors like Robinhoodsimilarly started with limited crypto offerings and gradually expanded their lineups after gauging customer interest and regulatory clarity. Fidelity has signaled it may add more coins eventually, likely focusing on those that meet its standards for security and compliance. For now, though, Fidelity’s crypto platform is a niche offering aimed at mainstream investors wanting modest crypto exposure.
Conclusion
Fidelity Cryptoprovides a low-cost, secure entry point into digital assets for U.S. investors, especially those who are already part of the Fidelity ecosystem. Its straightforward fee structure (around 1% spread)and integration with traditional accounts make it appealing for beginners and long-term investors who value convenience and trust. However, due to the limited coin selection and lack of advanced trading features, serious crypto traders or those seeking a wide variety of tokens may still prefer specialized exchanges. As the cryptocurrency market matures and regulators offer more guidance, Fidelity could expand its offerings. For now, Fidelity Crypto serves as a bridge between the traditional finance world and the crypto universe – bringing digital currencies a step closer to mainstream adoption.
FAQ: Is Fidelity Crypto really free of commissions?Yes.Fidelity Crypto does not charge a separate trade commission – instead it makes money from the spread (difference between buy and sell price) which is up to about 1%. This is transparent compared to many exchanges with multi-tier fees. Keep in mind that no platform is entirely "free" – you always pay a cost, either via an explicit fee or a spread.
FAQ: Can I transfer crypto between Fidelity and external wallets?Yes.Fidelity Crypto now allows users to transfer certain cryptocurrenciesfrom external wallets intotheir Fidelity Crypto account. This is a recent enhancement that increases flexibility. Outbound transfers (sending crypto from Fidelity to another wallet) are expected either now or in the near future, reflecting Fidelity’s commitment to interoperability. Always double-check the latest Fidelity guidelines on transfers, as features can update over time.
FAQ: Are crypto assets in Fidelity insured or protected by SIPC/FDIC?No.Digital assets in a Fidelity Crypto accountare not covered by any government insurance or SIPC protection.Cryptocurrencies are treated as property and do not have the same insurance safeguards as bank deposits or brokerage securities. While Fidelity Digital Assets may maintainprivate insuranceagainst theft or operational failures, that insurance is solely for Fidelity’s benefit and doesnot guarantee reimbursement to individual investors. However, Fidelity does have a Customer Protection Guarantee that may reimburse customers if unauthorized activity occurs on their account. In short, you should treat crypto holdings as uninsured and implement strong security measures on your end.