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BlackRock To Offer Crypto Trading, Sources Say
Summary: BlackRock, the world’s largest asset manager, is getting into the cryptocurrency world by preparing to offer their investors crypto trading possibilities, according to a new CoinDesk report. The New York-based company plans to enter the space by offering client support trading and then their own credit facility. In short, clients would be given the option ...
BlackRock, the world’s largest asset manager, is getting into the cryptocurrency world by preparing to offer their investors crypto trading possibilities, according to a new CoinDesk report.
The New York-based company plans to enter the space by offering client support trading and then their own credit facility. In short, clients would be given the option to borrow from BlackRock by putting down crypto assets as collateral.
The company, currently managing over $10 trillion in assets, will permit its clients to trade cryptocurrency through Aladdin (Asset, Liability, Debt and Derivative Investment Network). However, it is unclear when BlackRock will roll this out.
In June, BlackRock began hiring for an Aladdin blockchain strategy lead, leading many to believe that BlackRock has been planning this move for a while. It should not come as a surprise, as other leading financial institutions are dabbling into crypto: Goldman Sachs, Morgan Stanley and Citi to name a few.
The management corporation has already inkled positive signals to the crypto market including plans to launch the iShares Blockchain and Tech EFT (an exchange-traded fund eyeing an index of companies involved in crypto technologies domestic and abroad).
Lastly, BlackRock also owns 16.3% of the Michael Saylor-lead company, MicroStrategy. Saylor, the CEO, often promulgates bitcoin and the firm’s holdings of the touted cryptocurrency. MicroStrategy is a company that provides business intelligence, mobile software and cloud-based services.
Author: Tyler Irvin
