Larry Fink, BlackRock's CEO, expressed support for an Ethereum ETF
12th Jan, 2024
BlackRock, the asset management giant, is considering the possibility of introducing an equivalent product for ether (ETH), the native token of the Ethereum blockchain. This follows the successful launch of BlackRock's iShares Bitcoin Trust (IBIT), one of the newly approved Bitcoin ETFs that made its trading debut in the U.S. Larry Fink, BlackRock's CEO, expressed support for an Ethereum ETF, stating in a CNBC interview, "I see value in having an Ethereum ETF. These are just stepping stones towards tokenization, and I really do believe this is where we're going to be going."
The iShares Bitcoin Trust (IBIT) contributed significantly to the collective trading volume of $4.6 billion that the ETFs garnered on their debut. Fink envisions tokenization as a key step forward, representing assets on the blockchain in the form of tokens. He believes that tokenization has the potential to address issues related to money laundering and corruption.
Fink clarified that he views cryptocurrency not as a currency but as an asset class, specifically highlighting bitcoin as "an asset class that protects you" against geopolitical risks. Drawing a parallel with gold, he remarked, "It’s no different than what gold represented over thousands of years. Unlike gold, we’re almost at the ceiling of the amount of bitcoin that can be created."