Cryptocurrency News$27 trillion AUM is perched over Bitcoin and crypto

$27 trillion AUM is perched over Bitcoin and crypto

Major U.S. financial institutions, actively aiming to offer clients Bitcoin exposure, are managing a staggering amount of assets totaling at least $27 trillion.

On June 26, Meltem Demirors, the chief strategy officer at CoinShares, pointed out eight prominent institutions that have shown interest in the digital assets sector. These include BlackRock, which filed for a spot Bitcoin ETF, and Fidelity, which offers cryptocurrency wealth management solutions. Additionally, JP Morgan, Morgan Stanley, Goldman Sachs, BNY Mellon, Invesco, and Bank of America are among the institutions involved.

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“Many of the largest financial institutions in the US are actively working to provide access to Bitcoin and more,” she noted, adding that there is a whopping $27 trillion in assets under management between them.

Following BlackRock’s submission of a spot Bitcoin exchange-traded fund (ETF) application on June 16, there has been a notable surge in filings for similar products. This trend has sparked a narrative that implies the increasing interest of institutional investors in Bitcoin, signaling their entrance into the cryptocurrency market.

Demirors however noted that while “the institutions are coming,” it’s still more of a trickle than a wave. “We’re seeing the bridges being built in real-time,” she added.

It is important to acknowledge that the estimated $27 trillion figure represents the total assets under management of the eight institutions mentioned earlier. However, it is expected that only a small fraction of this amount would be allocated towards crypto investments.


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