BlackRock Expands Bitcoin Trust Spot Fund Partners
Date: 2024-04-08 Author: Henry Casey Categories: BUSINESS
BlackRock, one of the largest investment managers in the world, announced the expansion of the list of partners for its Bitcoin Trust spot fund. New entrants include financial giants such as ABN AMRO Clearing, Citadel Securities, Citigroup Global Markets, Goldman Sachs & Co and UBS Securities. This expansion adds five new partners to the existing four - Jane Street Capital, JP Morgan Securities, Macquarie Capital and Virtu Americas, raising the total number of authorized partners to nine.
The meaning of authorized partners
Authorized Partners play a key role in creating and realizing equity value in spot Bitcoin ETFs. They transfer funds into the trust fund, ensuring liquidity and availability of the spot Bitcoin Trust (IBIT).
Prospects for BlackRock
BlackRock expects that expanding its list of authorized partners will help increase liquidity and provide greater access to Bitcoin through IBIT. BlackRock's IBIT fund allows investors to gain exposure to cryptocurrencies without having to own the digital assets themselves.
A look at Bitcoin from BlackRock
Earlier, the head of digital assets at the investment company BlackRock, Robert Mitchnick, expressed his position at the Bitcoin Investor Day conference in New York. He noted that Bitcoin is more reminiscent of precious metals than risk assets, highlighting the promise and stability of the cryptocurrency.
