Larry Fink, the CEO of BlackRock, has transformed his viewpoint on Bitcoin and openly recognized this shift.
While speaking at the NYT DealBook Summit on Wednesday, Fink announced that he now sees promise in Bitcoin. Previously, Fink was a prominent critic who famously called Bitcoin “an index for money laundering.”
Today, Fink referred to Bitcoin as “an asset of fear,” explaining that investors often turn to it due to fears regarding financial stability, geopolitical tensions, or the persistent devaluation of traditional assets driven by increasing deficits.
“If you bought it for a trade, it’s a very volatile asset. You really need to excel at market timing, which most people don’t,” Fink remarked. “However, if you’re acquiring it as a hedge for your aspirations, it can significantly impact a portfolio… another major issue with Bitcoin is its susceptibility to leverage players.”
Speaking alongside Brian Armstrong, CEO of Coinbase, Fink highlighted that market fluctuations—like a recent 20–25% drop in Bitcoin—often mirror larger events, including trade agreements with China or potential resolutions regarding Ukraine.
Despite these factors, Fink maintained that Bitcoin can serve as valuable portfolio insurance for investors using it as a hedge rather than for quick trades.
Fink remarked that his views have shifted over years of interacting with clients and engaging with policymakers, labeling his change in stance as a “very glaring public example” of the necessity to reconsider firm beliefs.
In a notable contrast to his past skepticism, BlackRock—under Fink’s guidance—has now introduced a variety of crypto products, including a significant Bitcoin ETF.
“There is no chance” that Bitcoin will lose all its value, claimed Armstrong, who was seated next to Fink. Fink also expressed a positive outlook for Bitcoin, stating, “I see a substantial use case for Bitcoin.”
BlackRock’s bold embrace of Bitcoin and cryptocurrency
In October, BlackRock announced they were working on technology to tokenize various assets, including real estate, equities, and bonds.
At that time, Fink mentioned that global digital wallets collectively held over $4.5 trillion across crypto, stablecoins, and tokenized assets, highlighting that a significant portion of this capital resided outside the U.S., providing opportunities to attract new investors.
Fink indicated that tokenization could enable crypto newcomers to tap into traditional long-term products, such as retirement funds, and he likened Bitcoin and crypto to serving functions similar to gold.
