- Larry Fink views Bitcoin as an alternative to gold and expects its use to grow globally
- Ethereum’s blockchain is positioned for significant expansion, according to BlackRock’s CEO
- Fink believes market infrastructure, not regulation, will drive crypto’s future acceptance
There are at least two pieces of news coming from Larry Fink – CEO of BlackRock – who has returned to talk about Bitcoin and Ethereum, explaining what the strategies of the group he leads will be and, above all, the global prospects of what is a new asset class.
BlackRock’s True Intentions
There’s a lot to discuss, starting from what was actually said and finishing up with what BlackRock’s true intentions could be, which the more cynical remember as a company that sells funds and therefore has every interest in promoting the underlying assets of its products.
Implications of the Upcoming Elections
Not much importance from the elections, growing use in the future, Bitcoin’s status as an alternative to gold, and great growth prospects for Ethereum: Larry Fink’s latest speech is fuel for the fire of the bull market. Of course, that’s assuming he’s right.
Key Statements from Larry Fink
Larry Fink steps up – and talks about Bitcoin and Ethereum.
It was a relatively brief statement, but it will still please those who support the validity of the Bitcoin and Ethereum sectors, even for those who invest and only care about the price.
“I’m not sure that the President or other candidates will make a difference. I believe the use of digital assets will become more and more real globally.”
And that’s the first point that will spark discussion. BlackRock has historically been close to the Democratic Party, although it rarely ends up exposing itself directly.
And what Larry Fink states is something to think about: the candidate who comes out victorious from the elections on November 5 in the USA won’t have much impact on a trajectory that, for the head of BlackRock, seems relatively clear.
Bitcoin as an Alternative Asset
“It’s an alternative to other commodities like gold [Bitcoin, note]. And I believe that Ethereum’s role as a blockchain will grow.”
Once again, words of gold for the two assets that BlackRock has chosen so far for the first two crypto ETFs.
The Role of Regulation and Infrastructure
“I don’t think it’s a matter of regulation, more or less rules. It’s a matter of liquidity, transparency, and through that process… it’s not different from when we created the mortgage market years ago or when the high-yield asset market was born. They started very slowly, but then as we built better analysis tools and better data, we achieved greater acceptance and market expansion.”
This is perhaps the main issue touched on by Larry Fink: it won’t be the rules that establish if, how, and when the world of digital assets will be accepted by everyone as a legitimate investment asset class.
It will be a matter of infrastructure and intermediation, with the construction of that framework of analysis and data that has helped in the past other nascent assets…
What do you think about it? I think that Fink’s perspective on Bitcoin and Ethereum is intriguing, especially given BlackRock’s influence in the financial sector.
