Larry Fink, BlackRock CEO Waiting For The Right Time To Launch Cryptocurrency ETF


BlackRock, the world’s largest asset manager guiding individuals, financial professionals and institutions in building better financial futures has applied the holistic approach towards the launch of its Cryptocurrency ETF. Larry Fink, the CEO of BlackRock said in his statement that “the company does not see to launch Cryptocurrency Exchange Traded Fund (ETF) until the industry is legitimate” as reported by CNBC on 1st November.

With the $6.28 trillion assets under management in place, BlackRock, an investment firm is actively focusing on equity, real estate, fixed income, cash management activities.

While speaking at the New York Times Dealbook Conference held in Manhattan on 1st November, Fink raised its eyebrows towards the launch of crypto-based ETF saying that the company will see the right time especially when the industry becomes legitimate.

Further speaking to the subject matter, Fink supposedly said in his statement that ETFs “ultimately” have to be backed by a government and that a government would not greenlight such a financial instrument unless it knew the funds were not being used for illicit activities. Fink noted Bitcoin’s (BTC) anonymity as a risk factor since the leading digital currency could possibly be used for “tax evasion and all of these other issues.”

He further added while elaborating about the perspective “I do see one day where we could have electronic trading for a currency that could be a store of wealth. But right now the world doesn’t need a store of wealth unless you need that store of wealth for things you should not be doing.”

Besides having skeptical views, Fink profusely showed his interest towards cryptocurrencies by stating that the company is “a huge believer in the blockchain.” He further commented, “The biggest use for blockchain will be in mortgages, mortgage applications, mortgage ownership, anything that’s labored with paper.”

Fink’s statement arrived just before 5th November which is the deadline of the U.S. Securities and Exchange Commission (SEC) that is all set to review the necessary guidelines pertaining to execute trading activities of various BTC ETFs.

Let us not forget that the review period may affect almost nine ETFs that had been applied by three different candidates namely ProShares closely associated with the New York Stock Exchange (NYSE) ETF exchange NYSE Arca, and Direxion.

Amid the entire story, a crypto analyst, and host of CNBC’s show on Crytotrader, Ran Neuner further criticized the perspective saying that “a Bitcoin ETF is a “way bigger deal” than a cash settlement Bitcoin futures contract since it “requires the actual purchase of BTC.”

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