BlackRock plans to offer its clients cryptocurrency trading and crypto as loans services.
The world’s largest asset manager, with 10 trillion dollars under management, BlackRock is getting ready to dive deep into the world of crypto assets. According to CoinDesk, three sources that know the firm plans informed that the world’s most outstanding assets manager is looking to accept digital assets as collateral for loans and allow cryptocurrency trading on the platform.
Coindesk writes:
“One of the people said BlackRock will allow its clients – which include public pension schemes, endowments, and sovereign wealth funds – to trade cryptocurrency through Aladdin (short for “Asset, Liability, Debt, and Derivative Investment Network”)”
The Top manager will also be providing loan services by accepting crypto assets as collateral.
The person further told. “Clients would be able to borrow from BlackRock by pledging crypto assets as collateral.”
The second person revealed, “BlackRock was looking to get hands-on with outright crypto” and was “looking at providers in the space.”
A third person told Coindesk that a task force of about 20 people is “evaluating bitcoin and crypto within BlackRock. “They see all the flow that everyone else is getting and want to start making some money from this.”
It is not today that the assets manager has shown interest in the crypto market. In 2020, its CEO Larry Fink stated that “bitcoin gets a lot of attention,” and Blackrock customers were looking for more from him.
Last month, BlackRock filed with the SEC to offer an exchange-traded fund that would invest in companies involved in the “development, innovation, and utilization of blockchain and crypto technologies,” Bloomberg reported.
The asset manager also owns more than 16% of MicroStrategy, the publicly traded company with the most bitcoins in custody.
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