Wall Street Shock: BlackRock’s Larry Fink Calls Bitcoin ‘Digital Gold

 

BlackRock CEO Larry Fink Calls Bitcoin ‘Digital Gold’ as Wall Street Embraces Crypto Revolution

Larry Fink, the influential CEO of BlackRock, has made waves across global financial markets after calling Bitcoin “digital gold” during a recent interview with CBS. The comment marks one of the most significant shifts in sentiment toward cryptocurrencies from a major Wall Street leader. Once a vocal skeptic of digital assets, Fink now acknowledges Bitcoin as an “alternative asset” that deserves a place in modern investment portfolios — though with caution. His remarks signal how deeply the perception of cryptocurrencies has evolved within the traditional finance sector.

Source: X (formerly Twitter)

From Skepticism to Acceptance: Fink’s Journey With Bitcoin

In 2017, Fink was among Bitcoin’s harshest critics. At that time, he famously dismissed it as “an index of money laundering,” echoing a broader sentiment among institutional leaders who doubted its legitimacy. Fast forward to 2025, and the narrative has drastically changed. Fink now concedes that Bitcoin has matured into a recognized store of value, similar to gold, and a legitimate asset class for portfolio diversification.

“It’s not a bad asset,” Fink said. “But it shouldn’t be a large portion of your portfolio.” His words reflect both caution and respect for the cryptocurrency’s growing role in global finance. This transformation highlights a broader trend on Wall Street — where skepticism is steadily giving way to cautious optimism.

As the CEO of the world’s largest asset management firm, overseeing more than $12.5 trillion in assets, Fink’s endorsement carries enormous influence. When the head of BlackRock speaks, markets listen — and his acknowledgment of Bitcoin as a viable store of value sends a powerful message across both institutional and retail sectors.

BlackRock’s Bitcoin ETF Dominance

BlackRock’s involvement in the cryptocurrency space has already reshaped the market. The company’s iShares Bitcoin Trust (IBIT), launched earlier this year, has quickly become the largest Bitcoin ETF in the world, managing more than $93 billion in assets. According to data from SoSoValue, BlackRock’s combined crypto-related funds now hold over $157 billion, representing nearly 6.8% of Bitcoin’s total market capitalization.

What’s particularly striking is the composition of investors. Nearly half of the ETF’s inflows have come from retail investors — many of them first-time participants in BlackRock’s iShares ecosystem. This trend shows how deeply Bitcoin has penetrated mainstream investment channels, transitioning from a niche digital experiment to a recognized global asset.

“The growth of IBIT underscores a shift in investor psychology,” said one analyst at Bloomberg Intelligence. “Bitcoin is no longer viewed as speculative play money — it’s becoming an institutional-grade asset.”

Institutional Adoption Gains Momentum

Fink’s statements are part of a larger wave of institutional acceptance that has swept across global finance. Traditional powerhouses like Fidelity and Vanguard have integrated Bitcoin exposure into select investment models. Meanwhile, corporations such as Tesla, MicroStrategy, and Metaplanet continue to hold Bitcoin as part of their treasury strategies, viewing it as a hedge against inflation and geopolitical risk.

Source: SoSoValue

Fabian Dori, Chief Investment Officer at Sygnum Bank, described this moment as a turning point. “BlackRock’s open support of Bitcoin is not just involvement — it’s adoption,” Dori said. “Crypto is moving from the periphery of finance to its core.”

This transformation has been accelerated by growing concerns over U.S. fiscal policy, rising debt levels, and declining confidence in traditional safe-haven assets. As global uncertainty persists, Bitcoin’s role as a “digital reserve asset” appears more convincing to institutional investors than ever before.

Bitcoin’s Market Performance and Price Outlook

Despite the optimism surrounding institutional adoption, Bitcoin’s market performance has shown mixed signals in recent weeks. The cryptocurrency recently dipped below its 7-day moving average of $117,282, slipping to around $113,370, a decline of 1.32%. Analysts point to $115,390 as a short-term recovery level and $112,000 as key technical support.

Source: CMC

While short-term volatility remains, the long-term sentiment continues to strengthen. Fink’s recognition of Bitcoin’s legitimacy has helped stabilize investor confidence during market pullbacks. Traders increasingly view Bitcoin as an essential component of diversified portfolios — not merely a speculative bet.

Market strategists believe this alignment of institutional confidence and retail enthusiasm could pave the way for Bitcoin’s next major bull cycle. “When BlackRock endorses something, it validates the entire asset class,” noted Matthew Blake, a senior market strategist at CoinShares. “That psychological effect is profound.”

The Bigger Picture: Wall Street’s Evolving Relationship with Crypto

Larry Fink’s changing stance mirrors a broader institutional awakening. For decades, Wall Street and digital assets existed in separate worlds — one rooted in centuries-old financial systems, the other born from the blockchain revolution. But the lines are now blurring. Major asset managers, banks, and hedge funds are actively integrating cryptocurrencies into their investment frameworks.

This paradigm shift has not gone unnoticed by regulators. Governments worldwide are crafting clearer digital asset regulations to accommodate growing institutional participation. The U.S. Securities and Exchange Commission’s approval of multiple Bitcoin ETFs earlier this year was a watershed moment that legitimized crypto investing in the eyes of traditional finance.

“Fink’s comments are not just words; they symbolize a structural transformation in how the world’s largest financial institutions view digital assets,” said Anna Chow, senior analyst at Financial Times. “It’s no longer about whether Bitcoin has value — it’s about how to manage that value responsibly.”

Bitcoin: The New ‘Digital Gold’

By labeling Bitcoin as “digital gold,” Fink joins a growing chorus of global financial leaders who see parallels between the two assets. Like gold, Bitcoin’s fixed supply and decentralized nature make it resistant to inflationary pressures. But unlike gold, it is borderless, programmable, and easily transferable — characteristics that align with the digital age.

This comparison also reflects shifting investor behavior. Younger generations, particularly Millennials and Gen Z, increasingly view Bitcoin as their preferred store of value. Surveys show that more than 40% of investors under 40 now consider Bitcoin a better long-term hedge than gold.

Fink’s recognition of this generational and technological shift underscores his forward-looking leadership style. While maintaining a prudent approach, he acknowledges that Bitcoin’s inclusion in modern portfolios is not just inevitable — it’s essential.

A Turning Point for Global Finance

The rise of Bitcoin as an accepted institutional asset represents one of the most significant financial transformations in decades. What began as a decentralized experiment has evolved into a cornerstone of modern investment strategy, backed by the world’s largest asset manager.

Larry Fink’s remarks signal that the world’s financial elite are no longer on the sidelines. Bitcoin, once dismissed as a speculative anomaly, is now regarded as a legitimate instrument for wealth preservation in an increasingly uncertain global economy. As Fink aptly summarized, “For those looking to diversify, it’s not a bad asset.”

With that statement, the head of BlackRock may have summed up the future of finance — one where digital assets and traditional markets converge to shape a new monetary era.

Writer @Ellena

Erlin is an experienced crypto writer who loves to explore the intersection of blockchain technology and financial markets. She regularly provides insights into the latest trends and innovations in the digital currency space.

 

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