BlackRock’s stance on cryptocurrencies—especially Bitcoin and Ethereum—has lately made headlines. While Ethereum is considered as a “technology bet,” the investment behemoth sees Bitcoin as a “gold alternative.” This point of view captures a major change in the way conventional finance is starting to welcome digital assets.
The company’s findings show that people are becoming more and more sure that can protect against inflation, just like gold has in the past. BlackRock’s Chief Investment Officer, Rick Rieder, recently said that Bitcoin is appealing to investors who want to protect their wealth in uncertain economic times because there is a limited quantity. Many investors who are growingly concerned about market volatility and inflation will find resonance in this mindset.
Bitcoin: The Modern Gold?
For those looking for stability in the realm of finance, gold has traditionally been the preferred asset. BlackRock contends, though, that Bitcoin is filling in this function. As the company points out, Bitcoin’s limited supply and spread-out nature could make it a more interesting purchase than gold. Central banks around the world are printing money at rates that have never been seen before. This makes Bitcoin an even better way to save money.
“More institutional investors entering the market will only speed up the acceptance of Bitcoin at an incredible rate,” says Rieder. With this new money coming in, demand will grow even faster, making Bitcoin even more of a standard. Additionally, BlackRock believes that with increased realization of worth and scarcity, the price of the blockchain will keep moving upwards.
As of today, the market cap of cryptocurrencies stood at $2.14 trillion. Chart:
BlackRock considers Bitcoin a “risk-off” asset like gold. At a recent conference, BlackRock’s Robbie Mitchnick argued that Bitcoin might hedge against fiat currencies and government trust. Mitchnick said Bitcoin is a safe shelter for investors, especially during economic turmoil. As inflation, monetary devaluation, and banking crises develop, Bitcoin’s potential as a worldwide monetary alternative makes it important for financial security.
Ethereum: A Technological Transformation
Although Ethereum is seen via another perspective, Bitcoin attracts attention as a store of value. BlackRock sees as a platform for innovation as much as a cryptocurrency. With its smart contract capability, developers may create decentralized apps (dApps), therefore transforming many sectors, including gaming and banking.
Ethereum has great future potential. Ethereum demand may explode as more companies investigate blockchain technology. The analysts of BlackRock are positive about Ethereum’s future and indicate that its core technology might cause rapid increase in the coming years.
With BlackRock continuing to invest in these types of cryptocurrencies, that spells massive influence for the financial market. The general financial market is responding in such a trend, with old-time investors now becoming conscious of the potential attached to such digital assets.
Featured image from Unsplash, chart from TradingView
They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.
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Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).
Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!
So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).
Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.
Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.
Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.
Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.
So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.
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