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BlackRock partners with Coinbase to give big clients access to Bitcoin

BlackRock Coinbase Bitcoin
The agreement between BlackRock and Coinbase is a sign that institutional money is getting serious about crypto.
BlackRock Coinbase Bitcoin
Daniel Creech
By Daniel Creech Research Analyst

BlackRock, the world’s largest asset manager (with around $9 trillion worth of financial assets) has partnered with Coinbase (COIN) to allow its institutional clients of Aladdin (BlackRock’s end-to-end investment management platform) to directly invest in Bitcoin. 

This is a huge step for mass crypto adoption. It shows institutional or smart money wants to get into the crypto space. BlackRock wouldn’t get into crypto unless its biggest and richest clients weren’t asking for it.

Joseph Chalom, Global Head of Strategic Ecosystem Partnerships at BlackRock explained:

Our institutional clients are increasingly interested in gaining exposure to digital asset markets and are focused on how to efficiently manage the operational lifecycle of these assets.

He continued, “This connectivity with Aladdin will allow clients to manage their bitcoin exposures directly in their existing portfolio management and trading workflows for a whole portfolio view of risk across asset classes.” 

Obviously, partnering with the world’s largest asset manager is a big deal. Shares of Coinbase popped 10% higher following the news. 

Coinbase built a trading platform for institutions, called Coinbase Prime. It’s a one stop shop for big money to access crypto data, trading, custody, prime financing, and more. Coinbase Prime is the leading broker platform for crypto assets and has over 13,000 institutional clients. 

The bottom line

This is a clear sign big money (institutional money) is serious about crypto. Blackrock’s biggest clients aren’t mom and pop investors; they’re multi-billionaires backed by some of the smartest researchers on the planet. 

This partnership is a clear sign that trillions of dollars are aimed at the crypto market. Plus, giant firms like BlackRock don’t jump into a trend unless they’re sure it’s a solid long-term decision. Plut simply, this is a huge sign that Bitcoin is here to stay from an investment standpoint.

Daniel Creech
Daniel Creech is a Curzio Research analyst with over a decade of experience. He writes on macro trends, large- and small-cap stocks, and digital securities. He’s a regular contributor to Token Tracker, Curzio Research Advisory, and The Dollar Stock Club.
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