Coinbase Partners BlackRock To Give Institutional Investors Direct Access to Crypto, Starting With Bitcoin

• Coinbase and BlackRock have partnered to provide institutional clients with direct access to crypto.
• Global Head of Strategic Ecosystem Partnerships at BlackRock has confirmed that the asset management giant has received crypto interest from institutional investors.

The shakers and movers are increasingly interested in the crypto markets starting with Bitcoin. This is evident with the new Coinbase and BlackRock partnership. As confirmed in a Coinbase blog post, the two powerhouses ‘in their own respect’ have come together to offer institutional investors the best entry into the crypto world. BlackRock, the world’s largest asset manager will provide institutional clients of Aladdin®, BlackRock’s end-to-end investment management platform, direct access to crypto, starting with Bitcoin.

Institutional investors will be able to use Coinbase Prime; which is designed for institutional investors. Coinbase noted that the platform is “integrated with advanced agency trading, custody, prime financing, staking, and staking infrastructure, data, and reporting.”

We are proud to announce a partnership with @BlackRock. BlackRock’s Aladdin clients will now have direct access to crypto markets through Coinbase Prime.

Read more 👇https://t.co/LA3XeYYbvs

— Coinbase 🛡️ (@coinbase) August 4, 2022

This marks a key step for both Coinbase and the crypto economy at large. Coinbase is set to host key financial players whose transactions will increase the company’s revenues and credibility in the space. For the larger market, institutional demand is likely to trigger market prices.

Institutional interest in the crypto market

Joseph Chalom, Global Head of Strategic Ecosystem Partnerships at BlackRock confirmed that the company has been receiving interest in the crypto market. He noted;

Our institutional clients are increasingly interested in gaining exposure to digital asset markets and are focused on how to efficiently manage the operational lifecycle of these assets,

In recent years, the crypto market has seen an upsurge in institutional interest and involvement culminating in substantial price movements. Banking giant Morgan Stanley recently noted that the largest proportion of daily crypto trading volumes is from crypto institutions. Furthermore, Chainanalysis estimates that institutional investors ($10M) accounted for 44% of total crypto trading.

Following the announcement, Coinbase stock (COIN) which has flatlined since its launch a couple of years ago, has rallied by more than 20% reaching $99. This remains significantly lower than its all-time high of $120.