BlackRock CEO Sees Value in Spot Ethereum-ETF
Larry Fink, the head of financial giant BlackRock, expressed a positive view on spot ETFs based on the second-largest cryptocurrency by market capitalization in an interview with CNBC. Fink stated that he sees value in these assets, comparing them to the role of gold in history.
According to Fink, cryptocurrencies are assets but will not be used as currencies. He mentioned the limited issuance of Bitcoin as one reason for this.
On January 10th, the US SEC approved 11 applications for spot ETFs, including BlackRock. Among other approved issuers are Bitwise, Grayscale, and other well-known companies.
Prior to BlackRock's debut on the Nasdaq on January 11th, the price of their spot Bitcoin-ETF (IBIT) increased by 25.6% relative to NAV. This led to a rise in the price of Bitcoin to $49,000, but by January 12th, the asset fell to $44,000, losing 6% of its value.
SEC Chairman Gary Gensler expressed concern about the volatility of Bitcoin, pointing to its use in illegal activities.
For more detailed information, as well as discounts, check out our Telegram.