BlackRock just launched private trust offering its customers only in the United States the possibility to invest in Bitcoin now. News that once again consolidates the interest of this financial juggernaut in the world of cryptocurrencies.
New product available at BlackRock
BlackRock is a financial giant that manages approximately $10 trillion in assets offering various financial products such as investment solutions, financial advice, but also risk management.
A few days ago BlackRock chose Coinbase to allow its customers (and also those of Coinbase Prime) to expose themselves to Bitcoin through the Aladdin Wealth software that allows BlackRock to manage most of its assets. A great software offering the possibility to make investments with products like: Bitcoin ETF, BTC in stack and BTC futures.
BlackRock had already started moving towards cryptocurrencies as early as last year by investing with it the number one crypto on the market : Bitcoin. Yesterday, Thursday August 11, it was through an article on his blog that they announced the launch of a private trust that allows its institutional clients in the United States to gain exposure to Bitcoin spot.
We can read this article from BlackRock thus:
Despite the bear market taking a toll on the world of cryptocurrencies, we are still seeing significant interest from our customers in how to access these assets at a lower cost while leveraging our technology and product capabilities. we use.
Without much more details on the new product, BlackRock logically wants to be more present in the cryptocurrency market, because demand from their customers of course.
The CEO of BlackRock speaks
Bitcoin, although rising a little, still 60% lower than it was last year at an all-time high of close to $69,000. For many investors, however, BTC cannot go lower if we correlate with stocks. In fact, stocks and Bitcoin are much more intertwined this year than ever before.
Yesterday is the asset exceeded $24,700 the highest level since it fell to a low in June. Today, at the time of writing, BTC is worth $23,860, up 5.36% over the past 7 days.
So the BlackRock article continues:
Bitcoin is the oldest, most important and most liquid cryptocurrency. As a result, it has become a subject of increased interest from our customers who are interested in the world of cryptos.
This follows comments from BlackRock CEO Larry Fink earlier this year that were echoed by BlackRock customers growing interest also towards cryptocurrencies including stablecoins and also new technologies like blockchain in particular.
BlackRock and ecology
BlackRock also took the opportunity to highlight the work of non-profit organizations such as RMI and EnergyWeb as they seek to be more transparent. sustainable energy use especially in bitcoin mining. The company that wants to follow the progress in this area and the initiatives related to this matter.
In fact, the majority of investors who were once refractory to crypto-currencies and its industry, having changed their tune recent years. Despite all the concerns regarding the environmental impact of crypto, especially regarding Bitcoin mining it is still a sensitive topic for many, which prevents them from taking the chance.
One step closer to the crypto industry
BlackRock has researched the sectors they are likely to benefit their customers and the capital markets mainly in the crypto sector at the blockchain level, stablecoins and any active crypto that might be interesting.
So, yesterday’s news is the start of a likely long-term plan for BlackRock to further integrate into the cryptocurrency industry by offering new crypto-related products to their clients. This also follows the an earlier announced partnership with Coinbase.
It’s also an important announcement at a time when many traditional investors are waiting SEC approval (Securities and Exchange Commission) under the Bitcoin spot exchange fund. Currently, only futures ETFs are allowed.
More broadly, outside of BlackRock again showing the growing interest in the cryptocurrency sector around the world and more traditional institutions, there is a good chance that other similar companies offer crypto products to their customers in the future.
The crypto sector is relatively young and while it is uncertain, volatile, it is as undeniable as it is an increasingly significant influence on the world’s finances to the point where it can no longer be ignored.
A must have sector more controlled in the coming months and years. This is a project in particular by many countries and a matter of future discussion at the G20 through the CSF.