Vanguard, Managing $7.2 Trillion Asset, Increases Investments in Bitcoin Mining

• Vanguard Group, managing assets worth $7.2 trillion, has significantly increased its investments in the Bitcoin mining sector, with total holdings now exceeding $560 million.
• Vanguard currently owns 17.5 million shares of Marathon Digital, representing a 60% increase from its previous position.
• The company continues to acquire shares of Marathon Digital and Riot Blockchain, significant players in the Bitcoin mining sector.

Vanguard, an American investment advisory firm managing over $7.2 trillion in assets, is increasing its investments in the field of Bitcoin mining by purchasing more shares.

Vanguard Increases Investments in the Mining Sector

Vanguard Group, managing assets worth $7.2 trillion, has significantly increased its investments in the Bitcoin mining sector, with total holdings now exceeding $560 million. The company continues to acquire shares of Marathon Digital and Riot Blockchain, significant players in the Bitcoin mining sector.

Vanguard currently owns 17.5 million shares of Marathon Digital, representing a 60% increase from its previous position. With Marathon’s current share price of $16.03, Vanguard’s investment is valued at $280.5 million.

However, Vanguard didn’t stop there. They also increased their stake in Riot Blockchain, a Colorado-based Bitcoin miner. Vanguard now owns 17.9 million shares of Riot, showing an 18% increase from its previous stake. This additional investment raises Vanguard’s total investment in Bitcoin mining companies to over $560 million.

Considering Vanguard’s stance just two years ago, this is quite surprising. Back then, the company was highly skeptical about the long-term investment potential of cryptocurrencies. However, much has changed since then, and now Vanguard has become the largest shareholder of Marathon Digital.

The Financial Sector Turns to Cryptocurrencies

It’s not just Vanguard; the financial sector as a whole seems to be warming up to cryptocurrencies. Last week, BlackRock CEO Larry Fink referred to Bitcoin as an “international asset” and “digital gold.” BlackRock, managing assets worth $9.5 trillion, recently filed with the SEC for a Bitcoin exchange-traded fund. They are also the second-largest investor in Marathon Digital.

Bitcoin mining, once a niche activity, has become a big business. Today’s miners are large-scale enterprises that leverage server farms and consume significant amounts of energy. They are rewarded with newly minted Bitcoins in exchange for their efforts to verify blockchain transactions. It’s a high-stakes game, and Vanguard seems to be making significant bets on these players.