Is BlackRock trading meme coin? New whale alert shows what appear as subtle connection
With meme coins becoming more popular across the board, crypto analytics insight provider Lookonchain has shared a recent transaction that is causing a mixed reaction in the community. Per the data insight shared, a BlackRock Fund wallet address withdrew a total of 1.27 trillion PEPE worth approximately $1.98 million from Binance to four addresses in the early hours of Thursday.
1/ We noticed that BlackRock Fund withdrew 1.27T $PEPE ($1.98M) from #Binance to 4 addresses 2 hrs ago.
And BlackRock Fund made $2.39M(10x) on $PEPE before! pic.twitter.com/WgVnCGXpnt
— Lookonchain (@lookonchain) May 18, 2023
The insight into the wallet’s activities has pushed the community to wonder whether or not the addresses are connected to American investment management company BlackRock.
While some community members argued that there may be a connection, a good number of others believe the wallet tag bearing BlackRock’s name does not imply any connection to the company, known as the largest asset manager with over $10 trillion in assets under management.
Part of the argument is that, based on the integrity that BlackRock has in the investment world, taking a position in meme coins is not likely a smart play for the company. The high volatility and instability of these asset classes is also a major source of concern that has likely kept this top firm and a host of others from taking a position in meme coins.
Meme coin and mainstream embrace
It is not uncommon to find industry-acclaimed mega investors embracing meme coins. Going down memory lane, Mark Cuban is a major promoter of Dogecoin (DOGE), the industry’s first ever meme coin.
Taking Cuban’s support to a whole new height, his Dallas Mavericks team announced support for Dogecoin as a payment method for tickets and its merchandise. Tesla, the Elon Musk-owned electric car manufacturing company has also made a related move where it accepts DOGE for some of its products.
While BlackRock is positively aligned to crypto, considering its partnership with Coinbase Exchange, the company has not made any tangible investment in Bitcoin. The chance that it will make an investment in PEPE is, thus, very low.