The World’s Largest Asset Manager Discloses Holding A Stake in Two Bitcoin Miners
AnTyAugust 20, 2021The world’s largest asset manager with $9 trillion in assets, BlackRock has taken significant stakes in two Bitcoin miners, according to the SEC filing dated June 30, 2021.
The firm has committed roughly $383 million divided between publicly-listed Marathon Digital Holdings and Riot Blockchain.
BlackRock owns 6.71% of MARA stocks, trading at $31.81, down 45% from the April peak of $57.75 and a 6.61% stake in RIOT, trading at $32.08, down 60% from the $79.50 all-time high hit in February.
Besides getting deeper into the cryptocurrency industry through stakes in mining companies following a larger trend of traditional financial institutions increasing their crypto exposure, BlackRock also filed documents in January with the SEC for the inclusion of Bitcoin futures as an eligible investment in two of its funds, the BlackRock Global Allocation Fund and the BlackRock Strategic Income Opportunities Portfolio.
A few months back, the firm revealed that the BlackRock Global Allocation Fund held 37 futures contracts with the CME.
Another giant, Fidelity Group, also has similarly large stakes in the Bitcoin miners, while Vanguard Group is the leading shareholder in Riot Blockchain and Marathon Digital.
Amidst this, Argo Blockchain has filed for an initial public offer (IPO) on the Nasdaq with investment banks Barclays and Jefferies acting as its managers.
According to the proposed offering, the miner intends to list its American Depositary Shares (ADSs) under the symbol ‘ARBK’ while maintaining its listing on London’s main market.
Another Bitcoin miner, Iris Energy, has filed with the US SEC for a direct listing on Nasdaq.
The Australia-based firm is expected to debut in the fourth quarter of 2021 but is subject to regulatory reviews.
Initially, the company considered going public through a SPAC deal but later changed plans and raised $200 million in a private funding round to prepare for a potential US listing.
Using renewable energy to conduct its Bitcoin mining operations, the firm has a mining facility in Canada with 9 megawatts (MW) operational mining capacity with a plan to scale it to 30 megawatts (MW) this year.
AnTy has been involved in the crypto space full-time for over two years now. Before her blockchain beginnings, she worked with the NGO, Doctor Without Borders as a fundraiser and since then exploring, reading, and creating for different industry segments.