Larry Fink, the CEO of BlackRock, the world’s largest asset manager, has expressed his support for an Ethereum exchange-traded fund (ETF) following the successful launch of their Bitcoin ETF.
In a recent interview with CNBC, Fink stated, “I see value in having an Ethereum ETF. These are just stepping stones towards tokenization and I really do believe this is where we’re going to be going.” His comments came just a day after BlackRock’s much-anticipated Bitcoin ETF went live.
Part 2: ETH ETF pic.twitter.com/qnmB7azyQN
— Cryptik1.eth |🛸 (@Cryptik1E) January 12, 2024
BlackRock’s iShares Bitcoin Trust (IBIT) was among several products that debuted in the U.S. market last Thursday, following approval from the Securities and Exchange Commission (SEC). On its first day, IBIT accounted for approximately $1 billion of the total $4.6 billion trading volume that the ETFs collectively saw.
Fink’s support for an Ethereum ETF marks the commencement of a novel phase in cryptocurrency investments. The prominent asset management firm is potentially planning to introduce a similar product for Ether, Ethereum blockchain’s inherent token, aligning with its continuous progression towards tokenization.
Fink praises Ethereum ETF as a Valuable Asset Class and a Gateway to Tokenization 
Tokenization, the process of representing assets (real-world or digital) in the form of a token on the blockchain, is seen by Fink as a potential solution to issues related to money laundering and other forms of corruption.
Despite his support for cryptocurrency-based ETFs, Fink clarified that he does not view cryptocurrencies as currencies but rather as an asset class. He interestingly referred to Bitcoin as “an asset class that protects you” against geopolitical turmoil.
Drawing a parallel with gold, Fink stated, “It’s no different than what gold represented over thousands of years. Unlike gold, we’re almost at the ceiling of the amount of Bitcoin that can be created.”
This development marks a significant milestone in the acceptance and integration of cryptocurrencies into mainstream finance. As BlackRock continues to explore the potential of Ethereum and other cryptocurrencies, the future of digital assets appears promising. Ethereum has been riding the ETF wave since launch, trading at $2.622, increasing 0.50% in the last 24 hours.
