Larry Fink, the CEO of one of the world’s pre-eminent asset management firms Blackrock, speaks over the FTX meltdown. During an interview at the New York Times Dealbook Summit 2022 he said that most of the crypto firms will not be around. However, Mr. Fink sounds optimistic for blockchain technology.
Blackrock CEO’s Belief
Larry Fink stated about the crypto companies that “I actually believe most of the companies are not going to be around.” The CEO of Blackrock further added “We’re going to have to wait to see how this all plays out … I mean, right now we can make all the judgment calls and it looks like there were misbehaviors of major consequences.”
About the failure of FTX he added that the executives there may be guilty of a kind of “misbehavior of major consequence.” He also added the venture capitalists who once funded the exchange, bore at least part of the blame. It must be noted that Blackrock invested $24 Million in FTX, as stated by Mr. Fink.
Blackrock had $7.96 Trillion in assets under management (AUM) as of its third quarter. Mr. Fink predicted the recent fallout of FTX would cause the venture capital firms to rethink where they are going to put their money. He said, “It’s not going to go to all this stuff that provides us good utility to get food quicker, or find a taxi sooner. I think it will be much harder science, and require a lot more technical understanding.”
In recent times, Blackrock’s Global Chief Investment Strategist, Wei Li explained the 3 investment themes in the 2023 Global Outlook.
Source: https://www.thecoinrepublic.com/2022/12/05/blackrock-ceo-speaks-on-the-ftx-meltdown-and-crypto-firms/