“Bitcoin is a Great Potential Long-Term Store of Value,” Asserts BlackRock’s Larry Fink

“Bitcoin is a Great Potential Long-Term Store of Value,” Asserts BlackRock’s Larry Fink

Larry Fink, CEO of BlackRock, has shared his insights on Bitcoin, emphasizing its potential as a long-term store of value.

In an interview with Fox News aired on March 11, Fink acknowledged the opportunity inherent in Bitcoin, likening it to digital gold. He further highlighted its appeal as a store of value, particularly in countries where citizens may lack confidence in their government or face concerns about currency devaluation.

Fink also addressed criticisms regarding Bitcoin’s practical utility, pointing out that while it may not be as readily usable for everyday transactions like buying a slice of pizza, it shares similarities with traditional stores of value such as gold and palladium.

Additionally, Fink acknowledged the existence of practical uses for traditional stores of value, such as jewellery and electronics components containing gold, while noting that Bitcoin operates as a digital ledger with international reach. He further emphasized its borderless nature, suggesting that it transcends the control of any single government.

“Cryptocurrencies can be a great store of [value] and a cross-border asset, which is probably one of the reasons why China banned cryptocurrencies,” he said. “The government has too many deficits to devalue the currency. “If you live in a country where there is a fear of losing money, Bitcoin is a great potential long-term store of value.”

While discussing Bitcoin’s resilience in the face of regulatory scrutiny and market volatility, Fink expressed his belief that Bitcoin had not only endured but also demonstrated its potential as a long-term investment.

“I believe in FTX, and it didn’t [blow up] after FTX,” Fink stated, suggesting that despite challenges and fluctuations, Bitcoin had maintained its value and relevance.

Fink has previously expressed optimism towards the world’s largest cryptocurrency, Bitcoin. In January, he referred to Bitcoin as “digital gold,” stating, “If you are afraid of the government or worried that it could devalue your currency, you can think of Bitcoin as a way to store value over the long term. Bitcoin is digital gold.”

Fink’s remarks come amidst a surge in Bitcoin adoption following the recent approval of several Bitcoin spot ETFs. BlackRock, the world’s largest investment firm with nearly $10 trillion in assets under management, was one of the firms that received approval for a spot Bitcoin ETF in January.

On Monday, its ETF, IBIT, reached $10 billion in assets under management (AUM) faster than any other ETF in U.S. history, coinciding with Bitcoin’s price surpassing $72,000.