Larry Fink of BlackRock: We're Just Starting to Tokenize All Kinds of Assets
BlackRock's CEO Larry Fink emphasizes the emergence of asset tokenization away from traditional investment structures during a CNBC interview.
Larry Fink, the CEO of BlackRock, recently stated, “I do believe we’re just at the beginning of the tokenization of all assets, from real estate to equities to bonds, across the board,” during an interview with CNBC. He indicated that BlackRock is shifting its focus from traditional assets to digital forms, enabling investors to remain within a digital ecosystem.
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Fink is optimistic about integrating around $4 trillion currently held in crypto into traditional assets, such as Exchange-Traded Funds (ETFs), by tokenizing them for better access.
“There’s $4.1 trillion of money sitting globally in digital wallets,” said Fink, emphasizing that much of this capital is held outside the United States.
He noted, “If we could tokenize an ETF, we could engage investors who are new to investing and expand their portfolios into more traditional long-term products.”
Fink envisions this initiative as a critical opportunity for BlackRock in the coming decade.
Another striking point from his interview is the potential of moving away from traditional financial instruments towards a fully digital approach. Other industry leaders see BlackRock continuing to harness Ethereum technology to facilitate this transformation.
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Additionally, BlackRock operates a leading tokenized cash money market fund, BUIDL, with $2.8 billion in assets and has the largest Bitcoin ETF, which is growing rapidly, surpassing $100 billion in assets under management.
“It’s about being in the market throughout the cycle,” Fink explained.
