BlackRock CEO Walks Back 2017 Remarks, Says Bitcoin Could Be Alternative Asset and Urges Caution

• Fink retracted his 2017 criticism and now calls Bitcoin an alternative asset.

• BlackRock launched a U.S. spot Bitcoin ETF in 2024; its iShares Bitcoin Trust holds more than $93.9 billion.

• Bitcoin volatility persists—recent trading above $115,000 followed a rapid drop and nearly $20 billion in liquidations (CoinGecko).

Larry Fink on Bitcoin: BlackRock CEO walks back a 2017 remark, endorses Bitcoin as an alternative asset while urging caution — read expert quotes and data. Learn more.

What did BlackRock CEO Larry Fink say about Bitcoin?

Larry Fink on Bitcoin now frames the asset as a legitimate alternative, comparable to gold, after previously calling it an “index of money laundering.” He told CBS that markets forced a reassessment of assumptions, but he cautioned investors that Bitcoin should not be a large portfolio component.

Why did Larry Fink change his stance on Bitcoin?

Fink’s change reflects industry evolution and growing investor demand. BlackRock, which manages roughly $12.5 trillion in assets, launched one of the first U.S. spot Bitcoin ETFs after SEC approval in 2024. Its iShares Bitcoin Trust is the largest crypto ETF with more than $93.9 billion in assets under management.

Fink said, “I did say Bitcoin, because we were talking about Bitcoin then, was the domain of money launderers and thieves,” and later added that “there is a role for crypto in the same way there is a role for gold.” He also warned: “For those looking to diversify, it is not a bad asset, but I don’t believe that it should be a large component of your portfolio.”

Industry observers note institutional adoption has accelerated. Fabian Dori, Chief Investment Officer at Sygnum, told COINOTAG that institutional interest has shifted toward adoption — citing demand drivers such as macro uncertainty, geopolitical risks, and concerns about currency debasement. Traditional asset managers and several corporations have integrated Bitcoin into strategic allocations or corporate treasuries as a hedge or alternative store of value.

Opposing voices remain. British investment platform Hargreaves Lansdown warned clients that Bitcoin has “no intrinsic value” and recommended caution, even while providing qualified investor access to new crypto products. Market data reported by CoinGecko showed Bitcoin trading above $115,000 after a recent swing that generated nearly $20 billion in liquidations, illustrating the asset’s high volatility.

Frequently Asked Questions

Does Larry Fink recommend owning Bitcoin?

Fink acknowledges a role for Bitcoin as an alternative asset but does not recommend it be a large portfolio holding. He suggests it can diversify exposure similar to gold, while emphasizing investor caution and awareness of volatility and regulatory risk.

How much of my portfolio should be in Bitcoin?

Fink’s guidance is conservative: treat Bitcoin as a modest diversification tool rather than a core holding. Financial advisers typically tailor allocations to risk tolerance, time horizon, and regulatory environment; many suggest a small percentage for diversified portfolios.

Key Takeaways

• Reassessment by a major CEO: Larry Fink publicly walked back his 2017 criticism and now recognizes Bitcoin as a plausible alternative asset.
• Institutional adoption: BlackRock’s spot Bitcoin ETF and other institutional moves have helped normalize crypto products within traditional finance.
• Volatility and caution: Market swings, liquidations, and differing institutional views (e.g., Hargreaves Lansdown) mean investors should proceed with measured allocations and clear risk management.

Conclusion

BlackRock CEO Larry Fink on Bitcoin signals a notable shift in mainstream finance: from skepticism to cautious acceptance. Data points — BlackRock’s scale, ETF flows, and recent price volatility reported by CoinGecko — underline both growing institutional involvement and persistent risks. Investors should weigh Bitcoin’s potential as an alternative asset against volatility and regulatory uncertainty, and consider modest, well-managed exposure as part of a diversified strategy. For ongoing coverage and analysis, follow updates from COINOTAG.

Published: 2025-10-13 | Updated: 2025-10-13 | Author: COINOTAG

Sources (mentioned as plain text): BlackRock; U.S. Securities and Exchange Commission (SEC); CoinGecko; COINOTAG (interview excerpts); Sygnum; Hargreaves Lansdown.