‘Blackrock did not select HBAR’ as altcoin falls 20% after tokenization rumors

• Bitcoin’s post-halving surge altered investor behavior, as shown by Blackrock’s ETFs.
• HBAR surges 107% after tokenizing BlackRock fund; later drops 19%.

A recent event that has captured widespread attention is the remarkable performance of Bitcoin [BTC] following its halving.

This triggered significant shifts in investor behavior towards BTC, with one notable example being the extraordinary streak of 70 consecutive days of inflows into Blackrock’s Bitcoin ETF. 

Clearing the air around BlackRock’s involvement 

For the uninitiated, Blockchain firms Archax and Ownera tokenized BlackRock’s ICS U.S. Treasury Fund on the Hedera platform. This news led to a staggering 107% surge in HBAR’s value on the 23rd of April. 

Contrary to initial speculation suggesting Blackrock’s involvement with Hedera for the project, the reality appears to be different.

While the announcement fueled excitement and optimism, it became evident that Blackrock’s role was not as direct as initially implied.

Clearing the air around the aforementioned issue, Cardano Ghost Fund DAO founder Chris O’Connor took to X and noted, 

“Blackrock the actual institution did NOT select HBAR for tokenizing a fund of theirs. Blackrock had no involvement whatsoever and has no connection to the protocol.” 

Well, this did not just end here, Graham Rodford, CEO and co-founder of Archax Ltd, took to X and clarified, 

“If we decide to tokenise, arguably we do not need to approach the investment manager, but we always do as we want long-term relationships.”   

He added, 

“The investment manager’s level of involvement can vary but both Abrdn and Blackrock were aware that we were tokenising on Hedera.”

In a separate interview with crypto YouTuber Jesus Martinez., Rodford also said, 

“What we saw on Twitter was kind of pretty much close to the truth […] Archax had clients that wanted to invest in the BlackRock money market fund. When they expressed an interest we opened an account at BlackRock so that we could,”

HBAR’s market trend

However, despite these explanations, the community seems to be on a bearish curve when it comes HBAR.

According to CoinMarketCap, HBAR dropped by over 20% in the past 24 hours and stood at $0.1135 at press time, signaling strong selling pressure.