BlackRock, the World’s Largest Asset Manager, is Exploring Cryptocurrencies

BlackRock, the World’s Largest Asset Manager, is Exploring Cryptocurrencies

Six months after its chief executive lambasted bitcoin as an “index of money laundering,” BlackRock — the world’s largest exchange-traded fund (ETF) provider — has set up a working group to explore how to profit from the burgeoning cryptocurrency ecosystem.

The Financial News reports that the $6.3 trillion asset manager has begun discussing whether to invest in bitcoin futures and is also exploring other ways to gain exposure to cryptocurrencies and blockchain technology.

The task force will also examine how its competitors are investing in the cryptocurrency industry and whether those ventures present a threat to BlackRock’s market share.

As CCN reported, a number of ETF providers have sought — thus far unsuccessfully — to create and list the first bitcoin ETF on a regulated stock exchange. Other asset managers, including investment banking giant Goldman Sachs, are setting up bitcoin trading desks to provide clients with access to the nascent asset class.

A BlackRock spokesperson was quoted in the report as stating that the firm has been “looking at blockchain technology for several years.”

The working group will report directly to senior management, a group that presumably includes CEO Larry Fink. Just six months ago, Fink called bitcoin an “index of money laundering” but praised blockchain technology, which he said will “transform how we do our business.”

Last October, he made similar comments, arguing that the hype around bitcoin “just shows you how much demand for money laundering there is in the world.”

Nevertheless, Fink confirmed in a brief interview with Reuters that BlackRock had established a working group to explore bitcoin and other cryptocurrencies.

“We are a big student of blockchain,” Fink said, stressing that he doesn’t see “huge demand for cryptocurrencies” even though the firm has begun investigating them more closely.

The bitcoin price saw a moderate recovery following the publication of the report, rising four percent to $6,609 over its previous-day level. The rally raised the cryptocurrency market cap to $266.6 billion, up from $254.2 billion on Sunday.

Featured Image from Shutterstock.

• Join CCN's crypto community for $9.99 per month, click here.
• Want exclusive analysis and crypto insights from Hacked.com? Click here.
• Open Positions at CCN: Full Time and Part Time Journalists Wanted.
16.07.2018 / 08:00 75
BlackRock Boosts Crypto Markets With New Interest in Bitcoin BlackRock Boosts Crypto Markets With
Crypto markets are currently on a roll with Bitcoin spiking over 4% in a couple of hours. This may well be tied in to the news that multi-trillion
Bitcoin Price Jumps as World’s Biggest ETF Provider BlackRock Looks to Get Involved Bitcoin Price Jumps as World’s Biggest
BlackRock, Inc. the worlds largest asset manager and exchange-traded fund (ETF) provider is reportedly exploring opportunities to legally take part
Market Reacts as $6 Trillion Asset Manager BlackRock Eyes Crypto Space Market Reacts as $6 Trillion Asset
Asset managers do not come much bigger than BlackRock which is reportedly the world’s largest holding over $6 trillion. News emerged today that this
‘Decent Probability’ Bitcoin Price Goes to Zero: Vanguard Economist ‘Decent Probability’ Bitcoin Price Goes
An economist at one of the world’s largest asset managers believes there is a “decent probability” that the bitcoin price will eventually crash to
Goldman Sachs To Offer Bitcoin (BTC) Futures Goldman Sachs To Offer Bitcoin (BTC)
News reaching Ethereum World News indicate that global Investment banking giant, Goldman Sachs will start trading Bitcoin (BTC) futures. The
BlackRock Staffers Depart to Start Blockchain Investment Fund BlackRock Staffers Depart to Start
The steady drumbeat of departures from traditional finance to the blockchain industry continues. On Wednesday, Financial News reported that three
Comments (0)
Add a comment
Comment on