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BlackRock, a $9 trillion multinational investment behemoth, has purchased considerable stakes in two $BTC mining firms – Marathon Digital Holdings (MARA) and Riot Blockchain (RIOT). The institution, which has previously shown an appetite for the crypto industry, has put approximately $383M in both.
- Citing a mandatory filing with the Securities and Exchange Commission, Forbes reported that BlackRock had made two allocations in Bitcoin miners.
- As of June 30th, 2021, the institution owned 6.71% in Marathon Digital Holdings and 6.61% in Riot Blockchain.
- BlackRock invested in the two $BTC-related companies through some of its mutual funds and exchange-traded funds. The total allocation is approximately $383 million.
- As such, the asset manager has followed other notable organizations that have invested in Bitcoin mining firms, including Fidelity Group and Valley Forge.
- Both companies’ stocks have been on a roll in the past year, perhaps mimicking the price performance of $BTC.
- RIOT shares traded at $4 this time in 2020 but closed at $32 yesterday, meaning a 700% surge. MARA’s increase is somewhat similar, as it displayed $3.2 in August 2020 but its Thursday price tag was at $31 – a roughly 850% jump.
- It’s worth noting that this is not BlackRock’s first endeavor in the cryptocurrency space. Back in February, the Managing Director, Rick Rieder, confirmed that the institution was looking into the $BTC market.
- Later on, the company revealed registering some minor gains for its size – keeping in mind the entire portfolio – of $360,000 through CME futures.
- The CEO, Larry Fink, further outlined that the primary cryptocurrency could become a “great asset class,” but it still had to prove itself.