BlackRock denies rumors of a partnership with Hedera and tokenization of its fund shares
Date: 2024-04-25 Author: Gabriel Deangelo Categories: BUSINESS
In light of recent events related to the possible tokenization of shares of the MMF fund, BlackRock was forced to speak out and deny information about a partnership with Hedera. This was a response to public outrage and the decline in the price of the Hedera token (HBAR).
A BlackRock spokesperson told Cointelegraph that the company has no commercial relationship with Hedera and that there were no plans to use the project to tokenize its funds.
This announcement comes after the HBAR Foundation announced the possible tokenization of BlackRock MMF shares on April 23, 2024. However, it later became clear that the companies Archax and Ownera were behind this initiative.
Negative impact on the HBAR token rate
Following the publication of the partnership announcement, the price of the Hedera token (HBAR) fell by almost 10% over the past 24 hours, reaching $0.11. This sharp decline was due to community and investor frustration caused by the uncertainty surrounding the BlackRock partnership.
Despite the HBAR Foundation's attempts to justify itself by pointing to coordination with BlackRock, the company confirmed the absence of agreements on the tokenization of its assets with the Hedera project.
The negative impact of the incident on the HBAR token price and the reputation of Hedera shows that the cryptocurrency market is extremely reactive to information about partnerships and plans of large companies. Situations like this highlight the importance of transparency and clear communication in the cryptocurrency space.
