BlackRock’s co-founder and CEO Larry Fink has adopted a more favorable stance toward cryptocurrencies. In a recent interview with CNBC, Fink admitted that he has moved past his initial skepticism about cryptocurrencies such as Bitcoin and now sees them as viable investment options. He emphasized that Bitcoin is a legitimate financial instrument that offers uncorrelated returns, despite any potential misuse.
When questioned about whether the U.S. budget deficit supports crypto investment, Fink strongly agreed, stating that cryptocurrencies can serve as a hedge against currency devaluation in various countries.
Following the approval from the Securities and Exchange Commission for spot Bitcoin ETFs in the U.S., BlackRock’s iShares group introduced the iShares Bitcoin Trust (IBIT) earlier this year. IBIT stands as the largest spot Bitcoin exchange-traded fund, managing over $18 billion in assets.
Since IBIT’s launch, Fink has been consistently optimistic about Bitcoin. He highlighted that IBIT is the fastest-growing ETF in history, accumulating assets at an unparalleled rate. Fink is also positive about the potential for Ether ETFs, suggesting that an ETH ETF could be feasible even if the SEC regulates Ether as a security.
In March, BlackRock launched its first tokenized fund on the Ethereum blockchain, known as the BlackRock USD Institutional Digital Liquidity Fund (BUIDL). The fund is fully backed by cash, U.S. Treasury bills, and repurchase agreements, offering qualified investors the chance to earn U.S. dollar yields.