The multi-trillion-dollar asset manager mentions “Bitcoin” 25 times in its submissions with the SEC.
BlackRock, the world’s largest asset manager, could be preparing its entry into the Bitcoin (BTC) derivatives market, according to a pair of filings with the United States Securities and Exchange Commission, or SEC.
The two prospectus filings — BlackRock Funds V and BlackRock Global Allcoation Fund, Inc. — appeared
on the SEC website on Wednesday. Both filings mention the possibility
of using Bitcoin derivatives and other assets as part of its investment
scheme. However, neither filing makes a definitive statement about the
use of Bitcoin futures now or in the future.
The prospectus states:
“Each
Fund may use instruments referred to as derivatives, which are
financial instruments that derive their value from one or more
securities, commodities (such as gold or oil), currencies (including
bitcoin), interest rates, credit events or indices (a measure of value
or rates, such as the S&P 500 Index or the prime lending rate).”
BlackRock
also cited Bitcoin when referring to the various risk factors for
derivatives. In Bitcoin’s case, the digital asset may induce illiquidity
risk:
“A Fund’s investment in bitcoin futures may
involve illiquidity risk, as bitcoin futures are not as heavily traded
as other futures given that the bitcoin futures market is relatively
new.”
BlackRock’s executive brass has spoken positively
about Bitcoin in recent months, mirroring a broader shift in
institutional sentiment towards digital assets. In November, CIO Rick
Rieder said Bitcoin has the potential to “take the place of gold to a large extent.”
Larry Fink, BlackRock’s CEO, says Bitcoin has caught his attention and could possibly evolve into a global market.
As Cointelegraph reported last month, BlackRock is looking to hire a blockchain VP
with experience in crypto assets. The person hired for the role will be
tasked with implementing strategies “designed to drive demand for the
firm’s offerings.”
source link : https://cointelegraph.com/news/blackrock-s-new-sec-filings-list-bitcoin-derivatives-as-possible-investment
