Investment firm BlackRock has started trading Bitcoin futures, according to a Coindesk report and regulatory filing with the Securities and Exchange Commission (SEC). BlackRock has reportedly allocated a small portion of its portfolio in BTC on the Chicago Mercantile Exchange financial derivatives platform.
With $ 8.6 trillion (AUM) of assets under management, BlackRock is one of the largest investment firms in the world. In an interview for CNBC in February, BlackRock CIO Rick Rieder said they had started trying bitcoin.
According to the document, BlackRock invested $ 6.5 million in 37 futures contracts on CME BTC-based derivatives. At the time of grant, BlackRock’s position was estimated to be well under 1% of the company’s mutual fund. The company claims gains of $ 360,000 on its initial investment. It is speculated that the contracts expired on March 26th.
In the interview, Rieder stated that the current macroeconomic environment has forced investors to look for stores of value. Assets like BTC offer appreciation and protection against inflation, Rieder added:
In my opinion, technology has moved on and regulation has moved on to the point that some people feel it should be part of the portfolio. So that’s what drives the price up (…). I wouldn’t give a figure for the percentage allocation to have based on what the rest of your portfolio looks like.
Institutions hold 6% of Bitcoin supply
At the time of writing, Bitcoin is trading at $ 58,722, up 0.7% on the 24-hour chart. On the weekly and monthly charts, BTC shows gains of 8% and 31.1%, respectively, with a market capitalization of USD 1.09 trillion.
Previously, Goldman Sachs announced the launch of its Bitcoin offering for its richest customers. The banking institution consisted of a selection of products, including bitcoin futures and direct exposure to the cryptocurrency, and said it had received pressure from its customers.
Morgan Stanley made similar claims a few weeks ago when it announced the launch of three funds that will allow its clients with accounts of more than $ 5 million to get exposure to BTC. In the past few days, cases of institutional adoption of BTC have increased. Many represent a radical change in institutional attitudes.
Data from Bitcoin Treasuries shows that institutions that have bought BTC own about 6.54% of their total supply, or $ 79,494,670,635. MicroStrategy holds the largest stake with 0.4% of the offer or 91,326 BTC, followed by Tesla with 48,000 BTC and 0.2% of the offer.
++ DMG Blockchain Solutions Inc. @ ₿220
++ BTCS Inc. @ 578.5 @ 21Shares_ 6.945 => ₿7.769 $ MSTR ▲ 2.4x $ TSLA ▲ 1.7x $ SQ ▲ 2.1x $ MARA ▲ 2x
Hut-8 ▲ 4.8x
VYGR ▲ 9x
Meitu ▲ 1.1x $ RIOT ▲ 9.5x
Total 1,373,501 6th (6.54%)
Worth $ 79,494,670,635
src https://t.co/WaH06QS2P4 by @nvk pic.twitter.com/99ajWxOE2E
– BitcoinTreasuries.org (@BTCtreasuries) March 29, 2021