- Although Blackrock feels positive about the spot ETF application, it is said that the company has a significant stake in Bitcoin mining companies.
- Regardless of the likelihood of approval in the near future, it has applied to the U.S. Securities and Exchange Commission (SEC) for a spot Bitcoin ETF.
- In addition to the economic prosperity that Blackrock can bring to Bitcoin investors, Greenpeace argues that it “can come at a sharp cost for the climate and society.”
BlackRock, the world’s largest asset manager, is not only interested in spot Bitcoin ETFs, but also invests in mining companies.
BlackRock’s Investments in Mining Companies
The crypto market, although feeling positive about Blackrock’s spot ETF application, it is said that the company has a significant stake in Bitcoin mining companies. It has been reported before that companies like Fidelity and Vanguard have purchased shares of BTC mining companies.
Blackrock, the world’s largest asset manager, is said to have a stake value of over half a billion dollars in Bitcoin mining companies, as well as publicly traded companies. Greenpeace USA, a subsidiary of the environmental non-profit organization Greenpeace International, shared the results of a research conducted in August 2023, revealing its findings about Blackrock’s investments:
“Greenpeace USA’s research found that BlackRock has nearly $600 million worth of shares in Bitcoin mining companies and owns the majority of large publicly traded miners. These investments are crucial in providing financing for mining companies’ energy-intensive facilities.”
The company launched a special Bitcoin Trust in 2022 that allows institutional investors to gain exposure to the top cryptocurrency. Regardless of the likelihood of approval in the near future, it has applied to the U.S. Securities and Exchange Commission (SEC) for a spot Bitcoin ETF. Considering the significant influence of the company across industries, its approval could be an irreversible bullish sign for the crypto asset market.
Climate Cost
In addition to the economic prosperity that Blackrock can bring to Bitcoin investors, Greenpeace argues that it “can come at a sharp cost for the climate and society.” In a report dated August 14, 2023, it was stated that the energy consumption and carbon emissions of the top cryptocurrency increase when the Bitcoin price and transaction volume rise.
