- BlackRock’s Larry Fink is excited about the future
- Fidelity joins the crypto revolution
- Institutional interest might recover
Two multinational investment corporations — BlackRock Inc. and Fidelity Investments with a combined 14 trillion US dollars in assets under management — have recently expanded their crypto operations.
Currently, most major cryptocurrencies, including Bitcoin and Ether, are trading significantly lower than their all-time high prices. This is why many investors are talking about the crypto winter. Even though the drop in the crypto market has kept out many private and institutional investors, some major corporations are preparing for the next bull run.
BlackRock’s Larry Fink is excited about the future
In a letter to shareholders, Laurence D. Fink, Chairman and Chief Executive Officer at BlackRock, said he was excited about the potential of crypto and digital assets in general.
“At BlackRock we continue to explore the digital assets ecosystem, especially areas most relevant to our clients such as permissioned blockchains and tokenization of stocks and bonds,” Larry Fink wrote.
BlackRock is known to be interested in the blockchain technology and the crypto industry. In 2022, the investment corporation teamed up with Coinbase to give clients exposure to Bitcoin. It was a bold but highly anticipated move for such a large investment company.
Fidelity joins the crypto revolution
The Fidelity Crypto platform was made available this March, providing millions of Fidelity’s retail clients with the opportunity to trade Bitcoin, Ethereum and other currencies. Moreover, the platform offers commission-free trading.
Any major move by such large corporations as Fidelity or BlackRock — including diving into the crypto world — attracts attention. It is difficult to predict when the next bull run will happen, but it is obvious that BlackRock and Fidelity will be poised to maximize their benefits from it.
Institutional interest might recover
The crash of regional banks has boosted the recovery of blockchain-based assets. Their price has already increased significantly after dropping last year. Bitcoin has grown for several weeks in a row. Gamestop’s non-fungible token marketplace has witnessed a volume rebound, with retail investors increasing their funding of startups. Gameflip has recently raised 900 thousand US dollars from retail investors in equity crowdfunding. Although many large financial institutions have shown skepticism about blockchain-based assets, institutional interest might recover due to the crisis of the traditional banking system, as investors are looking for liquid places to keep their money.
