BlackRock’s Chief Executive Officer, Larry Fink, says that the ongoing Russian aggression in Ukraine could boost the adoption of virtual assets for cross-border transactions.
BTCUSD is up +0.22%
Fink notes that the conflict will drive countries to rethink currency dependencies adding that the fund manager was exploring cryptocurrencies due to increasing public demand.
He adds that a well-designed digital payment system can mitigate the risks of money laundering and illegal activities.
Fink notes in a letter to the shareholders that the Russian invasion was likely to end the globalization drivers which have been in place in the past 30 years.
The investment firm, which has an AUM of more than $10 trillion, reveals that it has halted all the Russian securities in its index in compliance with the Kremlin’s sanctions.
The firm reports that the overall client exposure to Russia has dropped from $18 billion to less than $1 billion.
The remarks by Fink are a change of stance from that which he made last year when he said that cryptocurrencies might be a speculative tool in light of the volatile prices.