Larry Fink: “Bitcoin will transcend any currency in the world”
Larry Fink, CEO of BlackRock, the world’s largest asset manager, changed his stance on crypto in 2022, sending strong trust signals to the markets. BlackRock’s move into crypto fits into the asset management giant’s broader mission of creating products that are easy to use and cheap for investors. “We believe we have a responsibility to democratize investing. We’ve done a great job, and the role of ETFs in the world is transforming investing. And we’re only at the beginning of that,” Fink said on “Squawk on the Street”.
Fink’s Turnaround
Fink had previously been critical of crypto, saying in 2017 that the popularity of digital currencies was due in large part to money laundering. However, interest from clients and the high cost of transactions motivated BlackRock to take a closer look at entering the space. He also added that crypto can serve a diversification role in investor portfolios. “It has a differentiating value versus other asset classes, but more importantly, because it’s so international it’s going to transcend any one currency,” Fink said.
Fink’s Quote
In fact, Fink has been quoted as saying: “Bitcoin will transcend any currency in the world.”
“Bitcoin will transcend any currency in the world.”
Larry Fink
BlackRock’s Bitcoin ETF
BlackRock applied for a spot Bitcoin ETF on June 15, which appeared to spur a rally in cryptocurrencies and a flurry of similar filings from other asset managers. The initial filing for the iShares Bitcoin Trust did not include a management fee. The Securities and Exchange Commission has previously rejected dozens of applications for similar funds, but BlackRock’s involvement and the proposed surveillance sharing agreement in the filing is seen by many in the crypto industry as a sign that momentum is shifting. “We are working with our regulators because, as in any new market, if BlackRock’s name is going to be on it, we’re going to make sure that it’s safe and sound and protected,” Fink said.
Latest Tweets
According to a tweet by CoinDesk: “@BlackRock CEO Larry Fink believes in the transformative potential of crypto, specifically $BTC, seeing it as a possible revolution in finance. Having filed for a spot #bitcoin ETF, @BlackRock anticipates approval from the @SECGov”.
Is this just the beginning of BlackRock’s journey into crypto? Only time will tell.