Mercado Libre, one of the largest e-commerce operators in Latin America, reported revenue of 29 million dollars in Bitcoin (BTC) in a recent communication to the SEC.
This indicates a further push towards the institutional integration of Bitcoin in asset management. Additionally, other important financial institutions, such as BNY Mellon and BNP Paribas, have announced significant investments in Bitcoin-based ETF funds.
Let’s see below all the details.
The e-commerce giant Mercado Libre and investments in Bitcoin
As anticipated, the recent statement to the SEC by Mercado Libre reveals an investment of 29 million dollars in Bitcoin as of March 31st. Highlighting the increasing institutional integration of cryptocurrencies in asset management.
Furthermore, this information, which confirms the adoption of the cryptocurrency announced by the company in 2021, demonstrates MercadoLibre’s commitment to digital assets, despite market fluctuations.
The latest filings with the SEC highlight the trend of financial institutions including Bitcoin in their wealth management strategies. Major players in the industry such as BNP Paribas and BNY Mellon have disclosed significant holdings in Bitcoin ETFs.
By reporting in this way a growing acceptance of cryptocurrencies in the traditional investment landscape.
Even smaller companies, such as Quattro Advisors and Legacy Wealth Management, have reported significant holdings in Bitcoin ETFs, indicating that interest in these instruments is growing.
As the mid-May deadline for submitting 13F applications approaches, it is expected to have a clearer view of institutional strategies regarding investments in cryptocurrencies.
Remember that 13F applications are requests for institutions managing at least 100 million dollars.
The recent filing by MercadoLibre, along with the interest of other major players in Bitcoin ETFs, suggests that this trend towards integration of Bitcoin into wealth management is set to grow.
The recovery of Bitcoin and the impact of the labor market on cryptographic assets
Recent data shows that the cryptocurrency market is experiencing significant changes, with Bitcoin gaining ground while altcoins record modest gains.
These trends emerge in a context of US economic relations that reveal challenges in the labor market.
The market analyst Van de Poppe suggests that the recent drop in Bitcoin may have reached its lowest point, influenced by economic indicators.
The US economic data for April shows that unemployment has increased to 3.9%, while the growth of average hourly wages has been lower than expected.
These developments, together with a slight deceleration of inflation, could favor interest in assets such as cryptocurrencies.
Van de Poppe believes that the Federal Reserve could respond with measures such as quantitative easing or interest rate cuts, which could further support the growth of Bitcoin and altcoins.
Bitcoin is back above 61,600 dollars, showing resilience and potential for further gains. This positive signal could give momentum to altcoins, with a possible rally after the recent consolidation.
Some analysts predict that, if the Federal Reserve were to adopt easing measures, cryptocurrencies could benefit from increased interest from investors seeking higher returns.
In other words, with the cryptocurrency market recovering from recent declines, it is expected that Bitcoin and altcoins could reach new highs in the coming months.
Source: https://en.cryptonomist.ch/2024/05/06/mercado-libre-is-advancing-in-the-adoption-of-cryptocurrencies-with-a-29-million-investment-in-bitcoin/