Shares of Coinbase jumped over 50% as the crypto exchange announced a collaboration with BlackRock, the world’s largest asset manager
Coinbase stock on the rise boosted by BlackRock partnership. Source: depositphotos.com
Today Coinbase stock trades at $89 – a significant surge, compared to $60 on Aug.2, which took place after an announcement of the partnership with BlackRock. Due to the collaboration, institutional clients of Aladdin, BlackRock’s end-to-end investment management platform, get direct access to crypto assets through connectivity with Coinbase Prime.
Despite crypto winter hardships, the powerful partnership illustrates the exchange’s leadership in the crypto sector. Moreover, it is a signal that even large traditional financial institutions like BlackRock would rather partner with a crypto-native company than build their own capabilities.
Therefore, Coinbase investors immediately reacted with a record weekly stock jump. It added almost $2 billion in value to the company’s market capitalization. While it’s a far cry from the peak valuation near $75 billion last November, Coinbase retrieved the value unseen since mid-May.
Built for institutions, Coinbase Prime will provide crypto trading, custody, prime brokerage, and reporting capabilities to institutions that contracted with both Aladdin and Coinbase. BlackRock and Coinbase will continue to advance the platform integration and will roll out functionality in phases to interested clients.
SEE MORE:
Former Coinbase employee charged in crypto insider trading scheme
Coinbase cryptocurrency exchange launches NFT marketplace for selected US users
