Source: beincrypto
Compiled by: Blockchain Knight
According to on-chain data, BlackRock’s active promotion of BTC has brought its holdings to nearly 350,000 BTC, making it the world’s third largest holder after Satoshi Nakamoto and Binance .
As BlackRock continues to establish itself as a dominant player in the crypto asset space, its various ETF products and interest from institutional investors are also growing.
BlackRock’s entry into the BTC industry is an important turning point for the industry. BlackRock CEO Larry Fink has always been strongly skeptical of BTC , believing that BTC is a speculative and potentially dangerous asset.
However, in the past few years, his stance has undergone a complete shift .
Fink now believes that BTC is an "international asset" with the potential to transform the financial industry, a shift that has driven BlackRock's deeper involvement in the Crypto asset market.
The firm's flagship product, iShares IBIT, is a core component of this strategy.
IBIT was launched earlier this year and quickly gained popularity among institutional investors seeking safe exposure to BTC . As a result, BlackRock’s holdings of BTC are approaching 350,000.
It is estimated that Satoshi Nakamoto's BTC reserves are 1.1 million, while Binance's BTC holdings are approximately 550,000.
Eric Balchunas, Bloomberg ETF analyst, said: "I didn't expect that the US ETF would be expected to surpass Satoshi Nakamoto at the BTC conference in October. BlackRock alone is already ranked third and is expected to rank first by the end of next year , and it is likely to remain so for a long time."
Interestingly, the balance of power in the ETF market was very different just a few months ago, with Grayscale leading the pack and holding more BTC than BlackRock.
Now, however, things have changed, and Grayscale is struggling with customer redemptions as investors pull out.
The main reason for investors' withdrawal was Grayscale's high fee of 2.5%, while the industry average fee was 0.25% .
BlackRock's growing business in Crypto assets has opened the door for more traditional financial firms to enter the market.
Recent filings show that large institutions such as Capula Management, Goldman Sachs, and DRW Capital have been buying up shares of BlackRock’s iShares IBIT.
It is undeniable that ETFs have played a key role in establishing Crypto assets as a legitimate asset class, but there are still differences of opinion within the Crypto asset community .
Many believe that large financial institutions are increasingly at odds with the founding principles of BTC. For these critics, institutional control of the crypto asset space erodes this original ethos, shifting power back to the entities that BTC was meant to bypass.
Someone asked: " Doesn't this go against the original intention of 'decentralization'? BlackRock will become the largest wealth management agent, and there is nothing more centralized than this."
