💰 BlackRock: Gold and Bitcoin — the Only Globally Recognized Alternative Assets
BlackRock CEO Larry Fink has made a sharp turnaround on Bitcoin, abandoning his 2017 criticism. In an interview with CBS, he stated that cryptocurrency serves the same function as gold — acting as an alternative asset and a diversification tool. Previously, Fink called Bitcoin a “money-laundering index,” but according to him, he had to “reassess his assumptions” amid growing institutional recognition of digital assets.
BlackRock, the world’s largest asset management firm with around $12.5 trillion in assets, launched one of the first spot Bitcoin ETFs in the U.S. in 2024 — the iShares Bitcoin Trust ETF. This fund became the largest crypto ETF with assets under management exceeding $93.9 billion, attracting both retail and institutional investors. According to the company, half of the demand for this ETF comes from retail participants, three-quarters of whom had never previously used iShares products.
Fink emphasized that markets constantly teach investors to reassess their views. He noted that Bitcoin can play a role similar to gold — serving as a store of value and a diversification tool, but it should not make up a significant portion of an investment portfolio. The BlackRock CEO called for caution, warning of high volatility and the need for a measured approach.
Fink’s stance marks a departure from the 2017 rhetoric when he and JPMorgan CEO Jamie Dimon actively criticized cryptocurrency. Dimon called it a “fraud” and compared it to the 17th-century tulip mania, while Fink described Bitcoin as a “realm for money laundering and criminals.”
In recent years, large traditional financial companies have gradually integrated Bitcoin into their strategies. Beyond BlackRock, assets have attracted attention from Fidelity, Tesla, and Strategy, viewing them as protection against inflation and a tool for diversifying corporate reserves.
Fabian Dori, Head of Investments at Sygnum, noted that institutional adoption of crypto assets has shifted from participation to full recognition, especially after Donald Trump’s reelection. According to him, Fink recently stated that Bitcoin could potentially replace the U.S. dollar as a global reserve currency if America’s debt situation gets out of control.
However, not all major financial players share BlackRock’s optimism. The UK investment platform Hargreaves Lansdown, managing $226.8 billion in assets, warned users to avoid Bitcoin, calling it an asset with no intrinsic value and not recommending it as a means to achieve clients’ financial goals. Nevertheless, qualified investors will have access to new UK crypto ETNs.
🌍 Thus, BlackRock’s position demonstrates growing institutional recognition of Bitcoin as a global alternative asset comparable to gold, reflecting fundamental changes in the perception of digital currencies in global markets.
P.S. This material was translated using artificial intelligence; errors may occur.
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