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BlackRock CEO Larry Fink: Responsible for Achieving Investment Democratization

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BlackRock CEO Larry Fink: Responsible for Achieving Investment Democratization

BlackRock CEO Larry Fink stated in a financial program on July 14 that BlackRock has a responsibility to achieve investment democratization and believes that there is a global demand for cryptocurrency.

BlackRock Takes Responsibility to Democratize Investing

According to CNBC, BlackRock CEO Larry Fink recently stated that the company's foray into the cryptocurrency space aligns with its broader mission goals. He highlighted on the 7/14 episode of "Squawk on the Street" that the company believes it has a responsibility to democratize investing. Fink praised the proliferation of ETFs for changing investment practices globally and mentioned that they are still in the early stages.

BlackRock's Application for Bitcoin Exchange-Traded Fund Sparks Excitement

BlackRock submitted an application for a Bitcoin spot ETF on June 15, triggering not only excitement in the cryptocurrency market but also prompting other asset management companies to make similar applications.

However, the U.S. Securities and Exchange Commission (SEC) has previously rejected multiple similar fund applications. Nonetheless, many cryptocurrency industry insiders believe that BlackRock's involvement and the proposed surveillance-sharing agreement indicate a shift. The collaborator on the surveillance-sharing agreement that BlackRock has proposed is the U.S. exchange Coinbase, which has also become a partner for other companies applying for similar products.

Recap: BlackRock's Larry Fink Renames Bitcoin as Digital Gold

Will BlackRock Ensure Safety in Venturing Into New Markets?

BlackRock CEO Larry Fink has previously been critical of cryptocurrencies. However, he mentioned that customer interest and high trading costs have led BlackRock to consider entering this space more carefully.

He further added that cryptocurrencies can bring diversification to investors' portfolios and emphasized its value in differentiating from other asset classes. Additionally, he stated that due to the international nature of cryptocurrencies, it transcends any single currency. Larry Fink expressed that they are working with regulatory bodies to ensure the safety and reliability of entering any new market.

According to BlackRock's second-quarter financial report, the revenue was $44.6 billion, with assets under management exceeding $9 trillion.

Other viewpoints: JPMorgan: Even if SEC approves Bitcoin spot ETF, impact on the cryptocurrency market remains limited