Considered the world’s largest asset manager, BlackRock launched a private bitcoin fund this week. The investment management company currently has more than US$ 10 trillion in custody and will offer the crypto asset fund to its institutional investors.
Before announcing the creation of the private bitcoin fund, BlackRock partnered with the exchange Coinbase. Last week, the asset manager and the exchange confirmed an agreement where Coinbase Prime will offer services for Alladin, an investment platform that is part of BlackRock.
BlackRock’s new fund will follow the same value as the bitcoin in the crypto market. The announcement has pushed the crypto asset up over the past 24 hours, with the BTC price approaching US$ 25,000 on Thursday the 11th.
Bitcoin at BlackRock
BlackRock may increase bitcoin adoption through institutional investors. With a private fund dedicated to the crypto asset, the company confirms its entry into the crypto market.
In addition to recently reverberating in the price of bitcoin, BlackRock’s adoption of crypto assets has caused Coinbase shares to rise in the past week. The stock appreciation came shortly after the manager confirmed the partnership with the exchange.
As a result, Coinbase shares traded above US$ 100 last Thursday (4). Moreover, the exchange’s shares appreciated more than 35% in just one day of trading.
Although it has faced an appreciation in recent days in the crypto market, the price of bitcoin has accumulated a drop of almost 50% in the last seven months. However, this devaluation has not removed BlackRock’s interest in offering a private fund with the crypto asset, says the manager in a statement.
“Despite the sharp decline in the digital asset market, we still see substantial interest from some institutional clients in how to access these assets efficiently and economically”.