The largest asset manager in the world, BlackRock, manages an investment fund called BlackRock Fund, which has moved trillions of tokens of the paper currency (PEPE).
BlackRock transferred 1.27 trillion PEPE, worth $1.98 million, to four addresses from a well-known cryptocurrency exchange, Binance.
Since this transaction occurred on May 18, market observers were curious about it.
Lookonchain claims that the BlackRock Fund previously made a significant profit from its investment in PEPE.
On April 21, they bought 1 trillion PEPE tokens at an average price of $0.0000002431. On May 5, they sold their whole stake for an average price of $0.000002627, making a profit of $2.39 million and a 10X return on their investment.
As they share the same deposit address as blackrockfund3.eth, the four addresses that received the withdrawn tokens are thought to have been recently created by BlackRock Fund.
When others seek to sell their PEPE holdings, other people decide to buy them because they think BlackRock has insider knowledge. Others believe that the PEPE was an arrangement designed by powerful individuals with the sole purpose of profiting.
PEPE is a meme token with no practical use.
As of January 2022, BlackRock was the largest asset manager in the world, managing almost $10 trillion in assets.
The company had previously lost $24 million on its investment in FTX, which gave it some exposure to cryptocurrencies.
Despite the interest in meme-coins from several cryptocurrency entrepreneurs, a member of the community said that it was unlikely that the world’s largest asset management would trade these tokens, especially after it lost millions on investments that appeared to be more secure.
The excitement surrounding PEPE hasn’t dimmed in the meanwhile despite the skepticism. Between late April and early May, the value of the meme-coin skyrocketed, reaching a peak of over $1 billion.
The number of distinct wallets that contain PEPE has been growing in the meantime. Etherscan reports that there are 114,302 holders. The number of holders has increased significantly since April 17, when it was 9,573.
Even if there are hundreds of thousands of PEPE owners, the number has been increasing more slowly since the meme token was listed on the cryptocurrency market Binance. Before this, Uniswap was the only way to access PEPE.