- BlackRock CEO Larry Fink called Bitcoin “digital gold” and said it has a role in investment portfolios
- Fink was previously a Bitcoin skeptic but changed his stance after studying it, now viewing it as a legitimate financial instrument
- BlackRock issued a Spot Bitcoin ETF this year, reflecting the firm’s embrace of the leading cryptocurrency
Larry Fink, CEO of the asset management firm BlackRock, recently shared his thoughts on Bitcoin, calling it “digital gold”. This marks a shift in perspective for Fink, who was previously skeptical of cryptocurrencies.
Fink Was Once a Crypto Skeptic
In the past, Fink openly doubted the viability of the crypto market. As recently as 2018, he dismissed Bitcoin as an index of money laundering. However, his views gradually changed over the years.
Fink’s Perspective Shifts on Crypto
In 2022, Fink said he had become “a big believer in blockchain” and saw long-term potential in crypto assets. This year, he described himself as “a proud skeptic” whose opinion from five years ago was wrong.
BlackRock’s Launch of a Bitcoin ETF
Fink’s change of heart has been reflected in BlackRock’s actions. In January 2023, the firm launched a Bitcoin exchange-traded fund (ETF). The ETF has seen significant inflows, nearing $500 million in assets under management.
Fink Calls Bitcoin ‘Digital Gold’ and a Financial Hedge
In a recent CNBC interview, Fink stated that he now sees Bitcoin as “digital gold” and a legitimate financial instrument. He said it can play a role in portfolios as a hedge against geopolitical uncertainty and as an asset outside of government control.
Conclusion
The endorsement of Bitcoin by one of the world’s largest asset managers marks a milestone for cryptocurrency adoption. Fink’s designation of Bitcoin as “digital gold” reinforces the narrative of Bitcoin as a store of value and a safe haven asset. His change of perspective reflects the growing acceptance of crypto by the mainstream financial industry.
