- BlackRock is thinking about making a big move to digital assets because millennials believe in cryptocurrency.
- The company’s tokenized asset fund application shows its commitment to digital asset advances.
BlackRock, the global asset management powerhouse with an astonishing $9.5 trillion in AUM, is now shifting its focus to the dynamic world of cryptocurrencies, with Bitcoin taking center stage.
Millennials’ growing belief in digital currencies as a safe investment affects this strategic orientation and could tilt global financial dominance.
Enticing the Millennial Investor
According to renowned cryptocurrency expert Willy Woo’s insights, BlackRock may allocate a portion of its substantial asset portfolio to virtual currencies.
The boomers will bequeath the largest inheritance in the history of the world to millennials or younger. And they trust #Bitcoin and love crypto.
Blackrock’s $9.5 trillion AUM would leak to digital assets if they didn’t do something.
— Willy Woo (@woonomic) March 27, 2024
This conjecture stems from remarks made by BlackRock CEO Larry Fink regarding the need to engage with younger investors who are turning to alternatives like Bitcoin because they are fed up with conventional financial channels, especially when it comes to retirement savings.
This is further supported by Bloomberg’s research, which describes Fink’s fascination with Bitcoin as a deliberate attempt to appeal to a generation that is accustomed to using digital technology.
Recent financial statistics, which showed a historic net inflow of $418 million into spot Bitcoin ETFs on a single day, March 26, reflect the growing interest of the younger population in Bitcoin.
This peak in inflows, the highest since March 13, emerges amidst overall market flux, highlighting Bitcoin ETFs’ resilience and the growing investor confidence in Bitcoin from both institutional and retail perspectives, particularly evident during market lows among self-custody investors.
And also, to explore this development in more depth, you can watch the YouTube video below.
BlackRock’s Venture into Digital Assets
In the meantime, as ETHNews previously reported, BlackRock has submitted a request to the United States Securities and Exchange Commission (SEC) to launch a tokenized asset fund.
This project is in opposition to the industry’s more general expectation that the SEC will approve a spot Ethereum ETF. The regulatory approval of 11 Bitcoin ETFs in January fueled this expectation and sparked hopes for the approval of additional digital asset funds.