BlackRock, the world’s largest money manager,
has just launched its first-ever product that invests directly in bitcoin for institutional clients in the United States.
The firm’s new spot bitcoin private trust seeks to track the performance of bitcoin.
The largest cryptocurrency has lost more than half of its value this year and is down 65% from an all-time high of $68,990 in November last year, according to CoinDesk data.
*Tweet on the BlackRock institutional trust exposure
After announcing it would enable #bitcoin trading services, $10 trillion BlackRock now offers spot bitcoin exposure to institutions in a private trust.@Fall_Of_Fiat covers the news:https://t.co/BHGxHDtEsJ
— Bitcoin Magazine (@BitcoinMagazine) August 11, 2022
Despite the steep downturn in the digital asset market
The BlackRock are confident, and sees substantial interest from some institutional clients in how to efficiently and cost-effectively access these assets using our technology and product capabilities,” BlackRock said in a statement on its website.
BlackRock announced a partnership with Coinbase that sent the cryptocurrency exchange’s shares soaring.
Tweet on BlackRock joins coinbase for btc investment
— The_Journalbiz (@the_journalbiz) August 11, 2022
The partnership allows BlackRock’s institutional clients who also own digital assets on Coinbase to use Aladdin, ( the asset manager’s suite of software tools) to manage their portfolios and conduct risk analysis on investment decisions.
Currently, the partnership applies only to bitcoin.