Blackrock’s Chief Investment Officer, Rick Rieder, stated cryptocurrency, consisting of bitcoin, “is here to stay.” In addition, he stated bitcoin is a resilient system that could replace gold.
Blackrock on Bitcoin and Gold
Rick Rieder, Blackrock’s Chief Investment Officer (CIO) of Global Fixed Income, discussed bitcoin changing gold in an interview with CNBC’s Squawk Box on Friday.
Blackrock is the world’s biggest possession supervisor, with more than $7.4 trillion in possessions under management since September. Rieder is also Blackrock’s Head of the Global Allocation Investment Team in the Multi-Asset Strategies Group.
Responding to a concern about the cost of bitcoin and gold and whether he is a bitcoin bull, Rieder stated:
I believe cryptocurrency is here to stay.
Rieder elaborated: “I believe it is resilient, and you’ve seen the reserve banks that have actually spoken about digital currencies. I believe digital currency and the receptivity — especially millennials’ receptivity — of innovation and cryptocurrency is genuine. Digital payment systems are genuine, so I believe bitcoin is here to stay.”
In regards to whether he is a bitcoin bull, Rieder stated: “I wear’t do a great deal of it, or much any of it, in my portfolios, my business portfolios, my company portfolios.” While specifying that “It’s tough to state whether it’s [bitcoin’s] worth the cost it is trading at today,” he verified:
But do I believe it is a resilient system that could replace gold to a big degree? Yeah I do, due to the fact that it’s a lot more practical than passing a bar of gold around.
Reid’s comments were extremely welcome in the crypto neighborhood. Former Goldman Sachs hedge fund supervisor Raoul Pal tweeted:
This is big news. This is the biggest possession management company in the world. 2021 is establishing to be a year of extreme supply lacks vs. need in bitcoin, and upside cost dislocations.
Thomas Lee, Head of Research at Fundstrat Global Advisors, commented that bitcoin is “eliminating it this year — it’s simply squashing all other hedges and possession classes this year, however in 2021 I believe bitcoin could be the year of the fireworks … the very best is most likely yet to come.”
The Blackrock primary financial investment officer’s comments followed a string of other hedge fund supervisors stating that they own bitcoin, consisting of Paul Tudor Jones, Bill Miller, and Stan Druckenmiller.
What do you consider the Blackrock executive’s see on bitcoin? Let us understand in the comments area below.
Thank you for visiting our site. You can get the latest Information and Editorials on our site regarding bitcoins.
