BlackRock CEO Larry Fink has certainly had a change of heart with regards to Bitcoin, recently expressing his belief in it as a “legitimate” financial tool and dubbing it as “digital gold” in a recent interview on CNBC. Fink, who once regarded himself as an extreme sceptic of the cryptocurrency, has since studied the digital asset and now validates its significant role in the financial market.
He further explained that Bitcoin’s potential extends beyond its simple status as an investment tool. Especially for regions undergoing economic or political strife, the cryptocurrency offers an escape route, an opportunity to put their money into something beyond their national borders.
BlackRock has indeed put its money where its mouth is. The company’s iShares Bitcoin Trust (IBIT) climbed the ranks this year, surpassing the Grayscale Bitcoin Trust (GBTC) as the world’s largest Bitcoin exchange-traded investment fund. With inflows exceeding $18 billion so far this year, the company has repositioned some shares of the Bitcoin ETF to its Strategic Income Opportunities Fund (BSIIX) and the Strategic Global Bond Fund (MAWIX), aiming to help income-focused investors.
This positivity certainly doesn’t go unnoticed by the market. CoinShares recently revealed their fifth-largest weekly inflow of investments into bitcoin. This coincides with a 4-day climbing sprint of Bitcoin’s price, following Fink’s comments and other bullish signals. After weeks of price suppression, Bitcoin managed to break through and regain momentum, another testament to its resilience and legitimacy in the financial world.