BlackRock Credits Options Market for Taming Bitcoin Volatility
BlackRock's Head of U.S. Equity ETFs Jay Jacobs believes that Bitcoin's reduced volatility is not a bug, but rather a feature.
Jacobs pointed out on Anthony Pompliano's podcast that Bitcoin's volatility has compressed from around 80 to the 35-40 range in recent months.
This shift can be attributed to the buildout of BlackRock's IBIT and the options market surrounding it, which has increased participation and brought more long-term buyers into the market.
Jacobs noted that institutions previously hesitant to invest in Bitcoin due to its volatility are now able to do so with ease, thanks to the simplification of access through IBIT.