BNP Paribas, the second largest bank in the European Union (EU), has joined the Bitcoin bandwagon. According to recent filingsThe French banking giant bought $41,684 worth of BlackRock shares in the first quarter, signaling to market analysts that this may be the start of something profound.
BNP Paribas, the second largest bank in the European Union (EU), has joined the Bitcoin bandwagon. According to recent filingsThe French banking giant bought $41,684 worth of BlackRock shares in the first quarter, signaling to market analysts that this may be the start of something profound.
According to the filing, BNP Paribas acquired 1,030 iShares Bitcoin Trust (IBIT) at an average of $40.47 per share. While this investment is small relative to the bank’s nearly $600 billion in assets under management (AUM), the move has marked a fundamental shift in widespread Bitcoin adoption.
Disclosure of this cash injection into BlackRock’s Spot Bitcoin ETF was teased via a 13F filing. This is an essential regulatory disclosure required of entities that did business in the United States at a specific time.
Demand for Bitcoin among major institutional investment firms is growing, as evidenced by Morgan Stanley’s recent increase in its bet on the asset class. The approval of the Bitcoin spot ETF created a pathway that opened access for all compliant companies to gain access to the new investment product. Aside from BNP Paribas, there is a general projection that more conventional banks will soon adopt the nascent asset class.
Impact on Bitcoin price
While it is unclear what BNP Paribas’ main intentions are regarding its plans for the digital currency, there is overall bullish sentiment in the market. Bitcoin price is in recovery mode, up 2.07% in the last 24 hours to $58,339.26.
The prolonged sell-off in the market has sent shivers through other altcoins, most of which are now recovering in line with the coin. With the return of bullish investor sentiment following the BNP Paribas buildup, Bitcoin is now looking to reclaim the $60,000 resistance level soon.
Bitcoin remains an outlier in the mainstream market, up more than 37% in the last three months.
