SIPC
SIPP INDUSTRIES INC NEW
stock OTC

8f you are going to keep BTC on an exchange you might as well just hold a BTC ETF at a traditional brokerage -- at least then you have SIPC protections.
The only reason to hold money on an exchange is to trade or hold until you have enough to make it worth it to transfer to cold storage without having a ton of tiny txos to your wallet that would increase your cost of spending your btc in the future.

The problem goes back to turning a stock market based entirely on paper stock certificates to a stock market that could operate digitally.
You can't trade the same share thousands of times a day if you have to deliver the certificate, so instead of saying "you can't trade a share thousands of times a day" the powers that be decided to say "we should put all shares into a central depository that acts as direct owner for all those shares, and then people can 'trade' the contractual obligations to those shares instead".
And thus the DTCC was born.
Schwab never buys shares when their customers buy a share. The name on a contractual obligation to a share owned by the DTCC changes. That's true for all shares of all stock not held at transfer agents across the entire market.
https://www.investor.gov/introduction-investing/general-resources/news-alerts/alerts-bulletins/investor-bulletins-97
If Schwab fails, then the same thing happens to you that happened to people who had accounts at Bear Sterns and Lehman Brothers when those brokerages failed. For the most part, their accounts moved to the brokers that bought them out. For some, their shit was given away to institutional creditors to cover the corporation's obligations. Then the people that got their shit stolen were obliged to sit in court for a decade or so to recover pennies on their dollar.
Contractual obligations only go so far as your counterparty still existing, and if Schwab was to blow up entirely, then you're suing a corpse or believing that government SIPC is going to save you. (it won't)

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Fidelity Brokerage Services LLC, Member NYSE, SIPC

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To find research and tools to help you, click on the "News & Research" on fidelity.com on the menu bar. This will expand a sub menu where you will be able to learn about and research mutual funds, stocks, ETFs, fixed income, and more. You can also go to "Investment Products" on the menu bar to learn more about the types of accounts that we offer. [Click here to visit Fidelity.com](https://www.fidelity.com)

Fidelity Brokerage Services LLC, Member NYSE, SIPC

You can talk about about all of that, we just ask that you do it in the right spot on our sub.
https://www.reddit.com/r/fidelityinvestments/comments/1riv3z1/monthly_investing_discussion_thread_investing/
Refrain from trolling, spamming, ranting, or posting memes. Do not abuse the reporting system. You can avoid having your post/comment removed as a rant/vent by simply being polite and asking for help.

Fidelity Brokerage Services LLC, Member NYSE, SIPC

Thanks for your post. We ask that all investment strategy discussion be kept within the monthly discussion post pinned at the top of the sub.
This post/comment has been removed for violating rule #2. - In regard to securities and investments

Thanks for your post seeking investment advice or discussing specific securities. Please keep all conversations about portfolios and specific investments to our monthly discussion post.
We are not able to assist with these types of questions on reddit but have a variety of tools and resources to help our clients invest their funds and find an investment that fits their objectives and risk tolerance. To learn more about investing check out the "Getting started with investing" page on our learning center [here](https://www.fidelity.com/learning-center/overview).

To find research and tools to help you, click on the "News & Research" on fidelity.com on the menu bar. This will expand a sub menu where you will be able to learn about and research mutual funds, stocks, ETFs, fixed income, and more. You can also go to "Investment Products" on the menu bar to learn more about the types of accounts that we offer. [Click here to visit Fidelity.com](https://www.fidelity.com)

Fidelity Brokerage Services LLC, Member NYSE, SIPC

SIPC, SIPC Excess or whatever it's called, FDIC

8f you are going to keep BTC on an exchange you might as well just hold a BTC ETF at a traditional brokerage -- at least then you have SIPC protections.
The only reason to hold money on an exchange is to trade or hold until you have enough to make it worth it to transfer to cold storage without having a ton of tiny txos to your wallet that would increase your cost of spending your btc in the future.

The problem goes back to turning a stock market based entirely on paper stock certificates to a stock market that could operate digitally.
You can't trade the same share thousands of times a day if you have to deliver the certificate, so instead of saying "you can't trade a share thousands of times a day" the powers that be decided to say "we should put all shares into a central depository that acts as direct owner for all those shares, and then people can 'trade' the contractual obligations to those shares instead".
And thus the DTCC was born.
Schwab never buys shares when their customers buy a share. The name on a contractual obligation to a share owned by the DTCC changes. That's true for all shares of all stock not held at transfer agents across the entire market.
https://www.investor.gov/introduction-investing/general-resources/news-alerts/alerts-bulletins/investor-bulletins-97
If Schwab fails, then the same thing happens to you that happened to people who had accounts at Bear Sterns and Lehman Brothers when those brokerages failed. For the most part, their accounts moved to the brokers that bought them out. For some, their shit was given away to institutional creditors to cover the corporation's obligations. Then the people that got their shit stolen were obliged to sit in court for a decade or so to recover pennies on their dollar.
Contractual obligations only go so far as your counterparty still existing, and if Schwab was to blow up entirely, then you're suing a corpse or believing that government SIPC is going to save you. (it won't)

Refrain from duplicate posting, trolling, spamming, ranting, or posting memes. Do not abuse the reporting system. You can avoid having your post/comment removed as a rant/vent by simply being polite and asking for help.

Fidelity Brokerage Services LLC, Member NYSE, SIPC

Thanks for your post. We ask that all investment strategy discussion be kept within the monthly discussion post pinned at the top of the sub.
This post/comment has been removed for violating rule #2. - In regard to securities and investments

Thanks for your post seeking investment advice or discussing specific securities. Please keep all conversations about portfolios and specific investments to our monthly discussion post.
We are not able to assist with these types of questions on Reddit but have a variety of tools and resources to help our clients invest their funds and find an investment that fits their objectives and risk tolerance. To learn more about investing check out the "Getting started with investing" page on our learning center [here](https://www.fidelity.com/learning-center/overview).

To find research and tools to help you, click on the "News & Research" on fidelity.com on the menu bar. This will expand a sub menu where you will be able to learn about and research mutual funds, stocks, ETFs, fixed income, and more. You can also go to "Investment Products" on the menu bar to learn more about the types of accounts that we offer. [Click here to visit Fidelity.com](https://www.fidelity.com)

Fidelity Brokerage Services LLC, Member NYSE, SIPC

You can talk about about all of that, we just ask that you do it in the right spot on our sub.
https://www.reddit.com/r/fidelityinvestments/comments/1riv3z1/monthly_investing_discussion_thread_investing/
Refrain from trolling, spamming, ranting, or posting memes. Do not abuse the reporting system. You can avoid having your post/comment removed as a rant/vent by simply being polite and asking for help.

Fidelity Brokerage Services LLC, Member NYSE, SIPC

Thanks for your post. We ask that all investment strategy discussion be kept within the monthly discussion post pinned at the top of the sub.
This post/comment has been removed for violating rule #2. - In regard to securities and investments

Thanks for your post seeking investment advice or discussing specific securities. Please keep all conversations about portfolios and specific investments to our monthly discussion post.
We are not able to assist with these types of questions on reddit but have a variety of tools and resources to help our clients invest their funds and find an investment that fits their objectives and risk tolerance. To learn more about investing check out the "Getting started with investing" page on our learning center [here](https://www.fidelity.com/learning-center/overview).

To find research and tools to help you, click on the "News & Research" on fidelity.com on the menu bar. This will expand a sub menu where you will be able to learn about and research mutual funds, stocks, ETFs, fixed income, and more. You can also go to "Investment Products" on the menu bar to learn more about the types of accounts that we offer. [Click here to visit Fidelity.com](https://www.fidelity.com)

Fidelity Brokerage Services LLC, Member NYSE, SIPC

SIPC, SIPC Excess or whatever it's called, FDIC

Thanks for your post. We ask that all investment strategy discussion be kept within the monthly discussion post pinned at the top of the sub.
This post/comment has been removed for violating rule #2. - In regard to securities and investments

Thanks for your post seeking investment advice or discussing specific securities. Please keep all conversations about portfolios and specific investments to our monthly discussion post.
We are not able to assist with these types of questions on reddit but have a variety of tools and resources to help our clients invest their funds and find an investment that fits their objectives and risk tolerance. To learn more about investing check out the "Getting started with investing" page on our learning center [here](https://www.fidelity.com/learning-center/overview).

To find research and tools to help you, click on the "News & Research" on fidelity.com on the menu bar. This will expand a sub menu where you will be able to learn about and research mutual funds, stocks, ETFs, fixed income, and more. You can also go to "Investment Products" on the menu bar to learn more about the types of accounts that we offer. [Click here to visit Fidelity.com](https://www.fidelity.com)

Fidelity Brokerage Services LLC, Member NYSE, SIPC

This post/comment was removed for violating rule #9 - Posts that go outside the scope of customer service.

The focus of this subreddit is for customer service questions about Fidelity products and services, money movement, transfers, and trading. This subreddit is not intended to address complex inquiries that go beyond the scope of normal service. Examples include legal or regulatory topics and questions asking about industry practices. We ask that you give thought if your question is something you would ask to a Fidelity support representative.

Fidelity Brokerage Services LLC, Member NYSE, SIPC

I'm new to this and started with a small $5k account in stocks and forex last year, but I got nervous about what happens if the broker goes bust. I read that some offer extra protection beyond standard SIPC, like up to $1M per client through Lloyd's of London if insolvency hits. That's why I went with a broker that has client funds insurance, it gives me peace of mind knowing my money isn't just gone in a worst-case scenario.
In my case, I lost about 10% on a bad trade early on, but the insurance layer made me feel safer overall, especially since I'm only putting in what I can afford to lose. It covers events like broker failure, not my trading mistakes, and it's free as part of the account. Have any of you beginners factored this into your broker choice?
What brokers do you use that have strong insurance, and has anyone actually needed to claim it?

Refrain from duplicate posting, trolling, spamming, ranting, or posting memes. Do not abuse the reporting system. You can avoid having your post/comment removed as a rant/vent by simply being polite and asking for help.

Fidelity Brokerage Services LLC, Member NYSE, SIPC

Thanks for your post. We ask that all investment strategy discussion be kept within the monthly discussion post pinned at the top of the sub.
This post/comment has been removed for violating rule #2. - In regard to securities and investments

Thanks for your post seeking investment advice or discussing specific securities. Please keep all conversations about portfolios and specific investments to our monthly discussion post.
We are not able to assist with these types of questions on reddit but have a variety of tools and resources to help our clients invest their funds and find an investment that fits their objectives and risk tolerance. To learn more about investing check out the "Getting started with investing" page on our learning center [here](https://www.fidelity.com/learning-center/overview).

To find research and tools to help you, click on the "News & Research" on fidelity.com on the menu bar. This will expand a sub menu where you will be able to learn about and research mutual funds, stocks, ETFs, fixed income, and more. You can also go to "Investment Products" on the menu bar to learn more about the types of accounts that we offer. [Click here to visit Fidelity.com](https://www.fidelity.com)

Fidelity Brokerage Services LLC, Member NYSE, SIPC

Thanks for your post. We ask that all investment strategy discussion be kept within the monthly discussion post pinned at the top of the sub.
This post/comment has been removed for violating rule #2. - In regard to securities and investments

Thanks for your post seeking investment advice or discussing specific securities. Please keep all conversations about portfolios and specific investments to our monthly discussion post.

We are not able to assist with these types of questions on Reddit but have a variety of tools and resources to help our clients invest their funds and find an investment that fits their objectives and risk tolerance. To learn more about investing check out the "Getting started with investing" page on our learning center [here](https://www.fidelity.com/learning-center/overview).

To find research and tools to help you, click on the "News & Research" on fidelity.com on the menu bar. This will expand a sub menu where you will be able to learn about and research mutual funds, stocks, ETFs, fixed income, and more. You can also go to "Investment Products" on the menu bar to learn more about the types of accounts that we offer. [Click here to visit Fidelity.com](https://www.fidelity.com)

Fidelity Brokerage Services LLC, Member NYSE, SIPC