Fidelity Digital Assets and BlockFi Launch Bitcoin-Collateralized Cash Loans for Institutions Dec 10 2020 · 09:00 UTC by Bhushan Akolkar · 3 min read Photo: Depositphotos You have successfully joined our subscriber list. The penetration of Bitcoin in mainstream finance and the rising demand from institutions pushed Fidelity to come with offers of Bitcoin-backed cash loans. BlockFi will handle all the loan disbursement process while Fidelity Digital Assets will hold BTC as collateral in its custody. Fidelity Digital Assets, the cryptocurrency arm of Fidelity Investments, has decided to roll out cash loans with Bitcoin collateral, in partnership with blockchain startup BlockFi. As per the deal, BlockFi will offer cash that is worth 60% of the loan backed by Bitcoin.