Key Takeaways
- Blackstone disclosed a $1.08 million investment in BlackRock's Bitcoin ETF.
- The firm manages over $1 trillion but has not previously invested in Bitcoin.
- Stephen Schwarzman expressed skepticism about Bitcoin back in 2019.
Blackstone, the world’s largest alternative asset manager with over $1 trillion in assets under management, has made its first known investment in Bitcoin — but the stake is small.
Details of the investment
A new SEC filing reveals Blackstone held $1.08 million worth of BlackRock’s spot Bitcoin ETF, known as IBIT, at the end of March.
The fund, which tracks the price of Bitcoin directly, has been a standout in the ETF market, with over $60 billion in assets and a recent 20-day inflow streak totaling $5 billion.
Cautious approach
Still, the size of Blackstone’s investment indicates caution.
The amount represents a fraction of a percent of the firm’s portfolio and is the only known Bitcoin-related holding the firm has disclosed to date.
Shift in leadership’s stance
This marks a notable shift from past statements by Blackstone leadership.
CEO Stephen Schwarzman said in 2019:
I don’t have much interest in that because it’s hard for me to understand.
He also voiced concerns about Bitcoin’s potential use in illicit transactions.
Broader market trends
Meanwhile, others are pulling back.
The State of Wisconsin Investment Board recently disclosed it no longer owns the $321 million in IBIT shares it once held.
Uneven institutional involvement
Despite Bitcoin’s strong performance — trading above $100,000 and with a market cap over $2 trillion — institutional involvement remains uneven.
