BlackRock, the world’s largest asset manager, has accumulated a significant amount of Bitcoin, receiving an additional $25 million worth of BTC from Coinbase Prime. With this latest transaction, the firm’s total Bitcoin holdings have now soared to an astonishing $47.47 billion, according to data from Arkham Intelligence.
The funds, it’s worth noting, were likely acquired by BlackRock on behalf of its clients who invest in the cryptocurrency through its spot Bitcoin exchange-traded fund (ETF), the iShares Bitcoin Trust (IBIT). Through it, investors can gain exposure to the cryptocurrency without actually dealing with wallets and private keys.
The move is significant as spot Bitcoin ETFs have seen more than $3.8 billion in outflows since February 24, amid a wider cryptocurrency market drawdown that saw the price of BTC drop below the $80,000 mark before recovering slightly to now stand at $84,500.
Coinbase Prime, a key custodian and trading platform for institutions, facilitated the latest $25 million transaction. This adds to the growing volume of Bitcoin moving into cold storage on behalf of institutional investors, a trend that often correlates with long-term holding strategies rather than short-term speculative trading.
Bitcoin ETF Holdings Keep Growing
Increasing institutional adoption and growing spot Bitcoin ETF holdings could help further reduce the cryptocurrency’s volatility and legitimize the cryptocurrency asset class further.
These funds, it’s worth noting, currently hold more than $89 billion worth of the flagship cryptocurrency, equivalent to around 5.62% of its market capitalization, according to data from SoSoValue.
Disclaimer
This article is provided for information only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
