I have doubts that comment is accurate. Fidelity is a broker dealer and custodies their own Bitcoin for their FBTC ETF.

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I think he knows what he's talking about

I just disproved his claim with an example. Doesn’t seem like it.

You can buy bitcoin the asset on Choice by Kingdom Trust and probably Fidelity too and have Fidelity custody it for 1% annual fee. I’m not sure you can redeem in kind, but they definitely custody bitcoin and have been before the ETF got approved

I think he mentions just that? " a huge firm like fidelity ppl are fine with sine they trust apriori but a new firm like bitwise if we said we did self custody then many prospective investors would raise eye brows"

What is the inaccuracy?

https://stacker.news/items/454701?commentId=454906

“for example broker dealers (regulated by FINRA and SEC) aren't allowed to custody bitcoin or really touch it in any way”

This part appears inaccurate