Jay Jacobs is the head of BlackRock’s Thematic and Active Funds. He says Bitcoin acts as a hedge for geopolitical and monetary risks. Jacobs, speaking on BlackRock’s Quick Download Series, said the digital asset industry was booming and that investors have been loving the IBIT ETF ever since its launch.
“Bitcoin is a nascent asset. It’s only one-tenth of the size of the gold market,” Jacobs claims in the video. “Therefore, it has high volatility and behaves a bit differently than stocks and bonds. A lot of investors look at it as a potential hedge against geopolitical and monetary risks. Other investors look at it as a way to play future adoption of blockchain technology. In either case, investors must take a measured approach to Bitcoin, considering both the risks and the potential returns of the asset.”
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BlackRock Bitcoin ETFs continue to dominate charts despite the market downturn
Bitcoin prices have exploded to all-time records since Spot Bitcoin ETFs were launched in January of 2024. The leading digital currency, Bitcoin, reached its all-time high of $73,000 in March. Grayscale, which is a close second in terms inflows behind BlackRock’s Bitcoin ETF, has also been the most lucrative. BlackRock’s EBIT has surpassed Grayscale’s Bitcoin Trust in the last weeks of May. Grayscale converted their Bitcoin trust, which was on the OTC Market since 2015.
As we reach the half-way point in the year, ETFs based on crypto currencies are dominating the discussion within the finance industry. Bitcoin’s offering was approved by the SEC in January. Ethereum followed suit with its approval last month. BTC, which hasn’t yet been launched, has already proven to be extremely valuable.
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BlackRock’s IBIT ETF promotion comes at a very interesting moment, because the flow of Spot Bitcoins ETFs is starting to slow down. This decrease marks a move away from initial ETF hype. Bitcoin’s price has fallen to the $61,000 mark as the demand for the asset slows. BlackRock has also invested heavily in Ethereum and is awaiting approval. next week.
Investors see Bitcoin and digital assets, as well as their future in everyday finance. This is why they are interested in ETFs. BlackRock thinks that the interest in cryptocurrency will continue to grow as more people look for alternatives to the dollar.
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Source: watcher.guru