Anyone hoping to see a Bitcoin ETF soon will have to wait until the cryptocurrency industry becomes more 'legitimate’ according to Larry Fink, CEO of investment management firm BlackRock.
A CNBC report reckoned that Fink made this statement while speaking at the New York Times Dealbook Conference in Manhattan on Nov. 1.
When quizzed on whether BlackRock would offer a Bitcoin ETF anytime soon, the top official reportedly said,
“I wouldn’t say never, when it’s legitimate, yes,”.
Additionally, Fink suggested that if a Bitcoin ETF would happen, the derivative would “ultimately” have to be backed by a government.
In his opinion, this will not happen soon because of the anonymous nature of cryptocurrencies like Bitcoin and the fact that the digital asset class could be used for “tax evasion and all of these other issues”
This does not however obscure the power of decentralized banking which cryptocurrencies have made possible.
No To Crypto But Yes To Blockchain Technology
Although Larry Fink mildly talked down cryptocurrencies during his speech, he was more favorably disposed when talking about parent technology-blockchain.
He affirmed that his firm BlackRock which manages around $6.2 trillion in assets, is a ‘big believer in blockchain technology’ and revealed possible use cases.
“The biggest use for blockchain will be in mortgages, mortgage applications, mortgage ownership, anything that’s labored with paper” he commented.