Coinbase and BlackRock Unveil Crypto Partnership
Cryptocurrency exchange Coinbase on Thursday announced a partnership with BlackRock that will let the investment dispensation company’s institutional clients use its service to buy cryptocurrency, starting with bitcoin.
The partnership will provide clients of Aladdin, BlackRock’s portfolio management software, with direct access to crypto above Coinbase Prime, the exchange’s institutional investment service. Coinbase will yielded services like crypto trading, custody, prime brokerage and reporting capabilities to Aladdin’s client base above the partnership, according to a release.
“Our institutional clients are increasingly enthusiastic in gaining exposure to digital asset markets and are focused on how to efficiently run the operational lifecycle of these assets,” Joseph Chalom, global head of strategic ecosystem partnerships at BlackRock, said in a statement. “This connectivity with Aladdin will funding clients to manage their bitcoin exposures directly in their existing portfolio dispensation and trading workflows for a whole portfolio view of risk across asset classes.”
Shares of Coinbase were up by more than 16% on Thursday after the announcement. This comes after a more than 50% waste in shares for the company over the past six months, according to CNBC.
This also comes amid a periods of uncertainty for bitcoin and other cryptocurrencies. The past certain months have seen a “crypto winter,” with the overall market losing roughly $2 trillion in value, though there have been recent rebounds.
In its statement, Coinbase emphasized that their service was the “most trusted bridge to the cryptoeconomy,” offering guarantee, insurance and compliance practices to institutions to provide safe access to crypto markets.
