CIO BlackRock has invested in BTC. However, he does not perceive it as a hedge

Rick Reider, the leader of the world’s largest management giant, BlackRock, admitted that he has an investment in BTC, but pointed out that he did not see it as a hedge, a kind of hedge against inflation and market risks.

Rick Reider he has previously indicated that he is a BTC fan. In November 2020, he even stated that in the future, it is very likely that he will surpass gold in capitalization, over which he has several advantages. However, as for the use of BTC as a hedge in times of market uncertainty, he thinks that the most well-known cryptocurrency has not yet matured.

Reider most recently commented on BTC in an interview with CNBC on the Squawk Box. “People describe BTC as a hedge or an alternative investment. I’m honestly not sure if this is a really good for security when this asset moves in price by 10-15% in a single day. It’s really hard to secure an asset with that type of hedge, “ stated.

However, the head of the BlackRock investment department subsequently admitted that he has BTC in his portfolio as a kind of speculative investment instrument. ,, (Bitcoin) that I own, I hold because I think that a lot more people will come to BTC over time. I like assets that are volatile with the potential to go up in price. I can imagine that BTC will still go significantly higher, but at the same time I think it is volatile. “

BlackRock has “invested” in cryptocurrencies

Rick Reider is not the only high-ranking BlackRock representative to have indicated an affection for BTC. The CEO also has a positive attitude towards it. Larry Fink, who admitted this year that BTC may become a global market in the future. However, Fink also recently pointed out that he does not yet see increased demand for BTC on the part of their solvent clients and is therefore cautious about it.

Due to the crypto-friendly setting of BlackRock executives, it is often speculated whether this company will not make a direct exposure to BTC by buying it, or at least investing in Grayscale Bitcoin Trust (GBTC).

This hasn’t happened yet, but the legs in the crypto market are partly submerged in BlackRock. According to the latest filing with the SEC of 30 June 2021, that giant has at least invested $ 400 million into a society that deals directly with cryptocurrencies. This includes, in particular, shares in BTC mining companies Marathon Digital Holdings a Riot Blockchain.