BlackRock CEO : the dollar can give Bitcoin the status of reserve currency

If the US government does not take control of public debt, the dollar will lose the status of the world reserve currency. This was stated by CEO of BlackRock Larry Fink in an annual letter to investors.

Fink noted that the “US debt clock began to tick” in 1989. At 2030, serving public debt will absorb all receipts, he emphasized, which would lead to a constant deficit.

“If the United States does not take control of its debt, if the deficit continues to grow, America risks giving out its position to digital assets, such as bitcoin,” the letter says.

Fink emphasized that he is not an opponent of crypto assets. Moreover, he considers them extraordinary innovation. At the same time, digital assets can undermine US economic dominance if investors begin to consider bitcoin as a safer alternative to the dollar, he said.

Also, the head of BlackRock compared the SWIFT system with an outdated postal service. At the same time, tokenization, in his opinion, is an email.

Note that Fink is not the first to speak about the significant potential of this technology. In February 2023, he said that the tokenization of the assets of the real world (RWA) will become the next global trend.