BlackRock, the world’s largest asset manager, has created a working group to determine if they should invest in Bitcoin Futures, cryptocurrencies, and blockchain technology.
BlackRock, the world’s largest asset manager, has pulled together a working group designed to look into entering into Bitcoin and other cryptocurrencies. BlackRock is responsible for about $6.3 trillion of assets, and having a company this size looking into crypto is huge.
The team that was pulled together includes Terry Simpson, Multi-Asset Investment Strategist, and they will determine whether BlackRock should invest in Bitcoin futures as well as other cryptocurrencies, their underlying infrastructure, and blockchain technology. In addition, they will be looking into what their competitors are doing, how it will affect their business, and how it will affect the different industries. All findings will be presented to BlackRock’s senior management, no timeline was disclosed.
In December 2017, in an interview after the CBOE Futures went live, Terry Simpson said that the space, in its current state, it is in “uncharted territory” and they feel it is not an opportune time to recommend it to their institutional clients fiduciaries. Times apparently have changed with their decision to look into crypto.
The effect was huge on the market as the price of Bitcoin spiked from about $6,300 to about $6,600 in the hours following the headline. With Bitcoin rising, the rest of the market followed as the entire market cap regained about $14 billion dollars in the same time frame. Are the bulls getting ready to take off?