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Beyond Bitcoin ETF: Inside BlackRock Bitcoin (BTC) Mining Strategy

Published 2023-08-30, 08:20 a/m
© Reuters Beyond Bitcoin ETF: Inside BlackRock Bitcoin (BTC) Mining Strategy

U.Today - Fighting for the approval of the first-ever Bitcoin Spot ETF in the United States might not be the only way BlackRock (NYSE:BLK) is going to benefit from a potential Bitcoin (BTC) rally. Researchers unveiled that the $10 trillion asset manager is buying more and more shares in public companies associated with BTC mining.

BlackRock accumulates shares of public Bitcoin (BTC) miners, data says

At the same time, for at least one of public Bitcoin (BTC) mining firms, the data by Mr. Brown looks outdated. In Marathon Digital Holdings Inc., BlackRock owns 8,620,526 shares, or 7.4%, data aggregators .

Almost two million shares were purchased by BlackRock in 2023 in a severe bearish market. Also, BlackRock is increasing its share in Cipher Mining. In May-August 2023, it purchased almost 500,000 shares of Cipher and now holds 2,433,554 shares, or almost 7% in the company.

Hut 8 Mining (TSX:HUT) Corp is the only mining heavyweight BlackRock seems to be pessimistic about. In May-August 2023, the firm got rid off 90,000 stocks of HUT8. At the same time, in the last days of 2022, BlackRock purchased more than 3x larger stake in the company.

BlackRock has most aggressively increased its share in TerraWulf, a zero-carbon Bitcoin (BTC) mining company from the United States. In 2023 only, BlackRock more than tripled its exposure to TerraWulf.

In shadow of Bitcoin spot ETF drama

In the cryptocurrency community, BlackRock gained popularity thanks to its efforts related to Bitcoin Spot ETF approval by the SEC. However, the investing manager actively increases its exposure to BTC during the ongoing "dip."

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As covered by U.Today previously, BlackRock and Fidelity are purchasing stocks of MicroStrategy (MSTR), the largest corporate Bitcoin (BTC) holder.

This article was originally published on U.Today

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