After Tesla’s entrance into the crypto world with $1.5 billion BTC investment, everyone is now aware of the fact that the cryptocurrency industry is now going to witness a great deal of institutional adoption, and a huge number of institutional investors and financial firms are expected to turn to this rapidly growing sector. As expected, another major asset management firm is considering Bitcoin and other digital currencies.
World’s Biggest Asset Manager Is Likely To Get Into BTC
BlackRock, the biggest asset management firm in the world with nearly $8.7 trillion worth of assets under management, is now getting into the top-ranked digital currency bitcoin (BTC). The Chief Investment Officer (CIO) of Global Fixed Income at BlackRock, Rick Rieder, gave a hint regarding this in an interview on Wednesday with Squawk Box of CNBC.
In the interview, the executive said that the company has already begun dabbling into digital currency investments. While describing cryptocurrencies’ volatility, particularly in reference to Bitcoin, Rick Rieder said that it is extraordinary.
To Hold Your Cash Into Cryptocurrencies Makes Sense To Me, BlackRock CIO Said
BlackRock CIO believes in holding cash into digital currencies as he said that it makes sense to him to hold a portion of cash into things such as Bitcoin or cryptocurrencies. However, he said that he would not prefer to adopt a proper allocation.
Adding more comments to his discussion, he stated that his sense believes in the fact that this technology has quickly emerged, and with that, regulations have also advanced to a certain point where several individuals believe that it should now become a part of one’s asset or investment portfolio.
Though the executive has revealed that they are now considering entering into the BTC game, he did not mention the exact percentage of the company’s asset under management that they want to dedicate to Bitcoin. These remarks from BlackRock CIO have come following the two prospectus filings of the company with the US SEC, in which it mentioned the leading digital currency.
Over the course of the last few months, senior executives at the major asset management companies have shared positive views about cryptocurrencies. Rieder seems to be a believer in Bitcoin as he said recently that the major cryptocurrency has got the potential to overtake gold.