BlackRock’s iShares exchange-traded fund (ETF) has debuted on the New York Stock Exchange. The fund allows investors to acquire exposure to the blockchain and cryptocurrency markets without investing directly in bitcoin. In January, the SEC received an application for the iShares Blockchain and Tech ETF (IBLC).
Coinbase will receive the vast majority of the new fund’s assets (11.45 percent). The fund’s establishment coincides with the increasing involvement of traditional finance in Bitcoin. Consumers will be able to invest in Bitcoin through 401(k) accounts, according to Fidelity earlier this week.
BlackRock Introduces a Blockchain and Technology ETF
BlackRock, the world’s largest asset manager with around $10 trillion in assets under management, is a believer in blockchain. The American firm has announced the establishment of the iShares exchange-traded fund, which will focus on blockchain technology, cryptocurrency, and technology companies.
This means that BlackRock clients, including many high-net-worth institutional investors, will be able to gain exposure to the cryptocurrency market without directly investing in risky assets such as Bitcoin and Ethereum.
This ETF will not directly track cryptocurrencies, but rather companies involved in the space, such as exchanges in the United States and around the world. In truth, Coinbase, the largest bitcoin exchange in the United States and one of the largest in the world, will receive the vast bulk of the new fund’s assets (11.45 percent).
The ETF will also track Bitcoin miners Marathon Digital Holdings (11.19%) and Riot (10.41%), as well as payments giant PayPal, which plans to launch cryptocurrency services in 2020.
“Blockchain technology is enabling financial inclusion for billions of unbanked customers while allowing independence and management of personal data,” the company writes on its iShares website.
Coinbase will receive the vast majority of the new fund’s assets (11.45 percent). The fund’s establishment coincides with the increasing involvement of traditional finance in Bitcoin. Consumers will be able to invest in Bitcoin through 401(k) accounts, according to Fidelity earlier this week.
The fund’s introduction coincides with the increased involvement of traditional finance in Bitcoin. Fidelity stated earlier this week that users would be able to deploy Bitcoin to their 401(k) retirement plans.
BlackRock just announced that it will manage the cash reserves for USDC, the $50 billion stablecoin managed by Circle that has proven vital to the DeFi and cryptocurrency ecosystems.
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