bingo party

Transferred fromPinballonlineWall Street news

In theory, placing digital versions of everything from stocks to real estate on the blockchain could create new markets and provide fast, round-the-clock settlement of transactions.

The sharp rebound in bitcoin prices over the past year and a half has contributed to a recovery in cryptocurrency companies such as Coinbase and has benefited BlackRock, one of the most influential companies in the traditional financial world.

In January, BlackRock launched the much-anticipated bitcoin ETF, which allows investors to trade bitcoin through regular brokerage accounts like stocks. The fund broke the new ETF offering record and now has about $16.5 billion in assets under management, making it the most significant example of BlackRock combining its money management capabilities with the encryption market in the past three years.

BlackRock's current digital assets business generates about $88 million a year, according to media estimates, mainly from fees charged by ETF, a fund management agreement with stable currency issuer Circle and a small blockchain trading fund launched earlier this year. While this figure is small compared with BlackRock's total consulting fee income of $13.7 billion last year, it is expected to increase as the fund grows and the company launches more encryption products.

According to BlackRock's grand plan, its next step will be to transfer more traditional financial assets to the blockchain through tokenization, which is its most challenging step. In theory, placing digital versions of everything from stocks to real estate on the blockchain could create new markets and provide fast, round-the-clock settlement of transactions. But like many of them,PinballonlineLike his financial company, BlackRock has not yet found a way to apply the technology on a large scale.

In October, JPMorgan Chase said BlackRock and Barclays had made a deal using their Onyx blockchain to involve token shares in BlackRock's money market fund. Although the project is still under way, BlackRock later decided to focus more on using common block chains, such as Ethernet Fong, because it is more likely to attract users and activities.

Mitchnick, head of digital assets at BlackRock, said: "when we look back, many of the industry's initial attempts have been difficult to achieve substantial success in terms of scale."

In March, BlackRock partnered with Securitize, an encryption start-up, to create a money market fund that could be traded on the Ethernet block chain. BlackRock also led a $47 million investment in Securitize, and Joseph Chalom, head of its strategic ecosystem partnership, joined the startup's board of directors. As of May 1, the tokenized fund had attracted 3% from 13 investors, according to Etherscan.Pinballonline$.85 billion, much slower than BlackRock's red-hot start to ETF.