How Will The World’s Largest Asset Manager Manage Bitcoin?

BlackRock, the world’s largest asset manager, has divided the crypto community with its turn to Bitcoin.

The pressures of the US regulatory agency, the SEC, on crypto had dragged the cryptocurrency market to the bottom. After the lawsuits filed against Binance and Coinbase, nearly 30 percent decreases were seen in altcoins. Meanwhile, the world’s largest asset manager became the lifeblood of crypto. BlackRock has attracted attention by applying for a spot Bitcoin ETF.

However, after BlackRock’s application, it was discussed that Bitcoin would fork and BlackRock would have a manipulative effect on the market. How will the world’s largest asset manager manage Bitcoin?

BlackRock: The New Ruler to Bitcoin

BlackRock, the world’s largest investment company with assets of 10 trillion dollars in its portfolio, is touted by some as the owner of the world. The company, which is thought to rule the world, has significant power in lobbying activities and political moves.

Founded in New York in 1988, the company has made a name for itself as the most reliable and largest asset manager just 33 years after its establishment. Looking at its previous processes, BlackRock is known for turning crises into opportunities and taking advantage of this opportunity. Turning the support it offered to the Fed during the 2008 crisis into an opportunity, the investment company started to provide crisis management consultancy around the world.

BlackRock shows its power and influence in challenging situations. Thus, the company succeeds in bringing itself to the fore in the field it is involved in. It is also stated that BlackRock has an active say in lobbying activities especially in the USA. As a matter of fact, the company, which manages an asset close to 10 trillion dollars, closely follows the steps to be taken by the countries.

Some products that BlackRock invests in are used in wars and political actions. In addition, BlackRock continues to support various organizations such as the World Health Organization. In other words, the investment company, on the one hand, makes investments that will change the order of the world, while on the other hand it tries to protect the order of the world. BlackRock is shown as one of the companies that shape the world.

Such a great power has recently applied for a Bitcoin ETF. BlackRock has officially stepped into Bitcoin. However, the SEC is on the agenda with its pressure on the cryptocurrency market. While it is debatable whether the SEC will accept this ETF product, the expectations are that the Bitcoin ETF will be released. Also among the discussions is that BlackRock will cause a fork in Bitcoin, thereby creating a Bitcoin of its own. Will BlackRock dominate Bitcoin?

Will BlackRock Dominate Bitcoin?

World-ruling asset manager BlackRock stepped into the industry with a spot Bitcoin ETF application. The SEC is expected to approve this ETF within 6 months.

BlackRock’s move has split the crypto industry in two. Although many people think that this move will give Bitcoin a bull run, negative comments from some quarters draw attention. Citing several details in the BlackRock application, the crypto community claimed that this ETF application would not do well for Bitcoin.

Twitter user RamenPanda shared a post with the caption the devil is in the details. RamenPanda claimed that BlackRock wanted to fork it in order to control the Bitcoin network. Drawing attention to 2017, the Twitter user said that BlackRock’s move was network warfare. RamenPanda stated that, thinking that investors are buying Bitcoin, they will buy the iShare Bitcoin ETF and thus BlackRock will sell Bitcoin.

In this case, which is reflected as Bitcoin Nakamoto Vision, there is an increase in rumors that BlackRock wants to fork Bitcoin and create a Bitcoin of its own.

However, there is a significant increase in the number of people who think that these rumors do not make much sense. Transferring his views on the subject to Coinkolik, İsmail Hakkı Polat said;

As Polat mentioned, Bitcoin has a very strong structure as a network structure and as its participants. If BlackRock forks Bitcoin, it may have a hard time taking the community with it. Bitcoin will stay where it is and the other Bitcoin that will emerge will only continue as a reflection.

Decision Phase in Bitcoin: BlackRock

Bitcoin, which was issued by Satoshi Nakamoto as an alternative to fiat money printed by the central government, has made a great revolution. The whole world has begun to open the curtain to Bitcoin and the developing blockchain technology. This situation grew so much that it caught the attention of BlackRock, who ruled the world.

BlackRock does not leave any investment to chance and does not attempt to harm its own image. It seems that BlackRock has always had a say in its previous investments. Such a powerful company has now targeted Bitcoin. Although it carries a bullish signal for Bitcoin, this may put the perception of decentralization at risk in the future.

The Bitcoin network may differ according to the majority of miners. For example, the Ordinals texts were implemented with the approval of the majority miners. We can say that the BlackRock allegations that fell on the agenda are inspired by this. BlackRock may want to run its own Bitcoin network. But Bitcoin does not seem likely to bow to such a centralized power.

With a possible Bitcoin fork, it seems that the BlackRock Bitcoin that will emerge will not receive the support of the community. Because Bitcoin Cash and Bitcoin SV have appeared similarly before. However, these digital assets did not even attempt to dethrone Bitcoin.

For this reason, BlackRock will want to manage Bitcoin with its community rather than seizing it. With the investments it will make here, the investment company will move institutions to Bitcoin and attract the attention of the community. With his moderate approach, BlackRock could become a figure like Elon Musk in Bitcoin.

If the fork takes place and Bitcoin falls into the hands of BlackRock, it can be said that the concept of decentralization will be lost and the global debate will intensify. Because Bitcoin attracts attention with its different structure from other stock market shares with fiat currencies.

BlackRock’s ETF step is of course not yet confirmed, but in Bitcoin, it seems like a big decision awaits us. Nevertheless, it is useful to remind the following words of Nakamoto;