Larry Fink unpacks BlackRock’s approach to crypto, saying it can “transcend any one currency”
BlackRock CEO Larry Fink Appears on CNBC cry on the street Excitement grew even more this morning when the company filed for a spot Bitcoin Exchange Traded Fund (ETF) with the SEC.
Importantly, Fink didn’t mention Bitcoin (BTC) in the interview, but BlackRock’s spot Bitcoin exchange-traded fund (ETF) is still pending with the Securities and Exchange Commission (SEC). Such statements are prohibited.
“Differentiated Value”
Nonetheless, Fink commented on cryptocurrencies in general, saying, “We believe we have a responsibility to democratize investing. The role of ETFs in the world is transforming investing.” “It really democratizes,” he said, comparing currency ETFs to the emergence of gold ETFs.[d] Realize “gold investment” by significantly reducing transaction costs.
Cryptocurrencies are currently plagued with similar problems and could benefit from similar solutions. “And now cryptocurrencies have come along… Transaction costs are very expensive right now. We are talking about points, not decimal points,” he elaborated.
BlackRock, the world’s largest asset manager, has a vested interest in democratizing investment. The company’s recent filing of a spot Bitcoin ETF has sparked enthusiasm from institutional investors and marks a pivotal shift in the financial landscape.
“Over the past five years, more and more global investors have asked us about the role of cryptocurrencies,” Fink said, pointing to the growing role of cryptocurrencies as international assets. emphasized. He added, “It has a differentiating value compared to other asset classes. But more importantly, it transcends any particular currency or currency valuation because it is so international.”
This is in stark contrast to Fink’s earlier remarks in 2018, when he expressed skepticism about the cryptocurrency industry. At the time, he said BlackRock would not trade until cryptocurrencies were “legal.” A recent ETF filing suggests that Fink’s stance on cryptocurrencies has evolved significantly, a potential sign that BlackRock believes cryptocurrencies have reached that point.
Fink declined to discuss specific details of the Bitcoin ETF as the SEC filing is pending, but his comments on cryptocurrencies generally focus on further integrating crypto assets into BlackRock’s investment strategy. It indicates that you are willing to consider doing so.
An article in which Larry Fink demystifies BlackRock’s approach to cryptocurrencies, stating that cryptocurrencies “can transcend all currencies,” first appeared on CryptoSlate.
