BlackRock CEO Larry Fink has significantly changed his stance on Bitcoin, retracting his previous criticism and expressing newfound interest in it as a potential investment. Speaking at The New York Times DealBook Summit, Fink described Bitcoin’s current status as a “fear asset,” bought by investors seeking financial protection amid geopolitical instability or declining traditional asset values. He cautioned that Bitcoin remains highly volatile and risky for those lacking market timing expertise, especially given the significant impact of leveraged investors on its price.
BlackRock, the world’s largest asset management firm, has recently expanded into crypto products, including a major Bitcoin exchange-traded fund (ETF), marking a clear shift from Fink’s earlier skepticism. The company also announced plans to develop technology for asset tokenization, enabling digital crypto investment access to traditional financial products like retirement funds.
Coinbase CEO Brian Armstrong echoed this sentiment, stating that Bitcoin’s price is unlikely to fall to zero, and Fink acknowledged substantial use cases for the asset. Both emphasize viewing Bitcoin not as a short-term trade but as portfolio insurance. This evolution in Fink’s perspective emerged from years of client and policymaker dialogues, highlighting how firm opinions on cryptocurrencies can change and urging investors to adapt strategies to current market realities.
Source: bitcoinmagazine
