BlackRock Expands Crypto Offerings as Deribit Exits

In a notable development within the cryptocurrency sector, BlackRock, the largest asset management firm globally, is advancing its cryptocurrency initiatives while Deribit, a prominent exchange, is withdrawing from the Russian market. This duality reflects the ongoing turbulence in the crypto landscape, where extreme volatility has become the norm.

What Moves Is BlackRock Making?

Bloomberg reports that BlackRock, managing assets exceeding $10 trillion, plans to launch a cryptocurrency ETP in Europe. Following the success of its Bitcoin ETF, IBIT, the firm is gearing up to introduce a BTC ETF-linked product tailored for the European audience. This strategic move aims to expand its footprint in the European crypto market.

How Is Deribit Responding to Sanctions?

Deribit is ceasing operations in Russia, aligning with EU sanctions. The exchange announced that it can no longer serve Russian residents, although exceptions remain for EU citizens. This decision underscores the ongoing regulatory pressures faced by companies operating in the crypto space.

Key Takeaways:

• BlackRock is launching a cryptocurrency ETP in Europe, extending its influence in the crypto market.
• The firm’s iShares Bitcoin Trust ETF currently manages about $57 billion in BTC assets.
• Deribit has exited the Russian market due to EU sanctions, affecting its service provisions.
• Russian nationals residing in the UAE will also be unable to access the exchange.
• The current Bitcoin price sits at $97,400, reflecting a nearly 2% decline.

These developments highlight a stark contrast in the strategies of major players within the crypto sector, as BlackRock seeks expansion while others like Deribit navigate the complexities of international regulations.