BlackRock says that a new Private Spot Bitcoin Trust will start soon.

A blog post published on Thursday said that BlackRock, which manages more than $10 trillion in assets, has started a new private spot Bitcoin (BTC) trust. BlackRock is the largest asset manager in the world.

The fund is only for institutional investors in the U.S., and it tries to track the performance of Bitcoin, minus the costs and debts of the trust.

BlackRock said this about the decision: "Despite the sharp downturn in the digital asset market, we are still seeing a lot of interest from some institutional clients in how to use our technology and products to get access to these assets in an efficient and cost-effective way."

Bitcoin is the oldest, biggest, and most liquid digital asset. It is also the digital asset that our clients are most interested in right now.

Private investment trusts in the United States don't have to register with regulatory authorities if they don't try to get money from small investors.

But some, like the Grayscale Bitcoin Trust, can still be sold to the public on the over-the-counter markets even though they are not registered with the Securities and Exchange Commission.

If you take out stablecoins, Bitcoin still has close to 50% of the market capitalization of the industry.

In terms of how much energy the blockchain uses, BlackRock said it was glad to hear that groups like RMI and Energy Web are working on programs to make the use of sustainable energy in Bitcoin mining more clear.

BlackRock teamed up with the cryptocurrency exchange Coinbase last week to give its clients direct access to cryptocurrencies, starting with Bitcoin.

By signing up for Coinbase Prime, users of BlackRock's Aladdin platform for institutional investment management will be able to trade cryptocurrencies, store them, use prime brokerage, and make reports.

BlackRock said that it has been doing research in four areas of digital assets and their ecosystems: permissioned blockchains, stablecoins, crypto assets, and tokenization.