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      Fidelity's Alleged $197 Million Bitcoin Sale Lacks Confirmation

      Recent claims that Fidelity Investments sold $197.09 million worth of Bitcoin have not been substantiated by any evidence. Investigations into the matter suggest that the rumors stem from misinterpretations of custody transfers and exchange-traded fund (ETF) flow data, rather than actual sales by the company.

      On September 29, 2026, on-chain trackers reported 12 transfers totaling 3,568 Bitcoin, valued at approximately $297 million, from wallets associated with Strategy, a company founded by Michael Saylor. However, Arkham Intelligence clarified that these transfers were internal reallocations within Fidelity's custody services, not sales. In fact, during the same period, Strategy purchased an additional 1,665 Bitcoin, increasing its total holdings to 847,666 Bitcoin.

      The confusion may have arisen from the ETF sector, which recorded $197.4 million in net inflows for the week ending July 11, 2026. While Fidelity's Wise Origin Bitcoin Fund (FBTC) experienced outflows during this time, the inflow figure does not correlate with any Bitcoin leaving Fidelity's custody. Instead, it reflects broader market activity, including investor redemptions that led to $50.7 million in outflows from FBTC in early October 2026.

      Fidelity Digital Assets serves as a custodian for institutional clients, meaning that large amounts of Bitcoin are held in wallets that do not belong to Fidelity itself. This structure can lead to misunderstandings when large transfers occur, as the public nature of blockchain transactions does not provide context for the movements. Investors are advised to seek clarification from analytics firms or the involved companies before interpreting significant transfers as sales.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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