Rick Rieder, chief investment officer at BlackRock Financial Management, hinted that the firm ha already invested a percentage of its portfolio into crypto.

In an interview with CNBC’s Squawk Box on Wednesday, Rieder said BlackRock — with more than $8.6 trillion in assets under management — has “started to dabble a bit” into crypto investments. The chief investment officer described the volatility of cryptocurrencies like Bitcoin (BTC) as “extraordinary” but acknowledged that many investors were looking for “places that appreciate under the assumption that inflation moves higher as debts are building.”

“Holding some portion of what you hold in cash in things like crypto seems to make some sense to me, but I wouldn’t espouse a certain allocation or target holding,” said Reider. “My sense is the technology has evolved and the regulations have evolved to the point where a number of people find it should be part of the portfolio.”

Read Also:   Litecoin, Zcash, Compound Price Analysis: 03 January

Rieder did not specify what percentage of BlackRock’s assets under management may be in crypto, but his comments come following the multitrillion-dollar asset manager mentioning Bitcoin in two prospectus filings with the United States Securities and Exchange Commission. The filings suggest the possibility of BlackRock using Bitcoin derivatives and other assets as part of its investment scheme.

Executives at the asset management firm have spoken positively about crypto in recent months. Rieder previously said that Bitcoin has the potential to “take the place of gold to a large extent,” while in December 2020, CEO Larry Fink said Bitcoin caught his attention and could possibly evolve into a global market.

Read Also:   Bitcoin's biggest mining pool may be behind the BTC price drop, but buyers stepped in

The chief investment officer’s recent remarks follow Tesla making a $1.5-billion Bitcoin purchase earlier this month, prompting many firms to face questions about if they’ll consider investing in the crypto asset. Microsoft and General Motors have both said they have no immediate plans to put Bitcoin on their balance sheets, while Amsterdam-based payment processor Adyen did not rule out the possibility.


Download MAXBIT Android App, Your best source of all crypto news!
Google Play

Source link


BlackRock has started to 'dabble' in crypto, says CIO

by Cameryn Gollakner
Choose A Format
Poll
Voting to make decisions or determine opinions
Story
Formatted Text with Embeds and Visuals
List
The Classic Internet Listicles
Meme
Upload your own images to make custom memes
Video
Youtube, Vimeo or Vine Embeds
Audio
Soundcloud or Mixcloud Embeds
Image
Photo or GIF
Gif
GIF format