The American investment giant BlackRock have their interest in cryptocurrencies, leading to a sudden surge in various crypto-coin prices. CEO Larry Fink, on Monday, conferred that the company is looking forward to assembling a group to look at blockchain technologies and cryptocurrency.
In an interview with the Reuters, Fink said “We are students of Blockchain”, yet he doesn’t see a “huge demand for cryptocurrencies” among the investors.
Any move by BlackRock towards investments in cryptocurrencies would mark a major turn around in the crypto world. The company manages assets worth $6.3 trillion which is a testament to their rich investor database. As the largest asset manager in the world, its interest in cryptos would act like a stimulus for a price surge and would certainly entice conservative asset managers to seriously explore the crypto space. In fact, with just the spread of a word, the impact is remarkable.
On Monday, Bitcoin was trading at $6,600 which is its best showing in more than two weeks. This is after a report describing the “BlackRock working body” came up on the Financial News late on Sunday. The biggest cryptocoin advanced around 5.5% according to prices on Bloomberg. Rival coins Ethereum, Litecoin and Ripple, all witnessed the buzz with an increase in the price of around 5% each.
Nonetheless, the BlackRock Global Weekly Commentary does convey its concerns over threats of “potentially complete loss” in crypto-investments. Adding to it, the blockchain technology does need to overcome hurdles to meet a more significant future.
Crypto Assets are a growing investment option now, in which investors are drawing more and more interest. Hopefully, with such conventional investors like BlackRock Inc. heading into the cryptospace, the world would start to leverage most out of this new asset class, leaving behind the old-school standards, to encourage a new generation into investing.