BlackRock & Coinbase collaborated once again to fill the gap between Crypto & traditional financial sector with new blockchain & crypto powered product.
BlackRock is a leading investment management firm which has shown increasing interest in Bitcoin since mid of 2023 under the leadership of its CEO Larry Fink, who was earlier a Bitcoin critic. While not directly investing in the cryptocurrency, Fink has acknowledged Bitcoin has potential as a global market asset. BlackRock has explored Bitcoin spot ETF product and blockchain technology, signaling a growing acceptance of digital assets within traditional finance circles.
BlackRock & Coinbase collaboratively launched BUIDL, a blockchain-based fund aiming to blend blockchain with traditional finance and offer a new way of earning US dollar yields.
This big investment firm has put $100 million into USDC, a second top stablecoin pegged by the value of the US dollar. This shows that BlackRock believes in this new kind of money and thinks it’s a good investment.
Following this news, the trade price of Coinbase (Coin) stock surged 11% in the last 24 hours.
Coinbase & legal hurdles
Since mid-2023, the Coinbase crypto exchange has been under huge legal hurdles in the US, as the country’s securities regulatory body SEC sued the exchange for providing unregistered crypto securities offerings & running an unregistered national securities exchange.
Following the SEC’s suit, Coinbase exchange faced regulatory action by the state securities regulatory bodies also but still, the Coinbase representative lawyers are actively fighting against the SEC’s charges on behalf of facts & compliance crypto services.
Despite big legal hurdles, Coinbase exchange is actively involved in the new Bitcoin & crypto-related initiatives with BlackRock & other fund managers.
Just a week ago, Coinbase filed an application with the US CFTC body for futures trading services for Bitcoin cash, Dogecoin, and Litecoin.
Read also: Coinbase joins crypto meme trend, files for Dogecoin futures trading services
Credit: Source link
