BlackRock CEO: Bitcoin and Cryptocurrencies May Harm the International Status of the US Dollar

According to Beincrypto, Larry Fink, CEO of BlackRock, claimed in a recent letter that Bitcoin and cryptocurrencies may harm the international status of the US dollar. If investors view Bitcoin as a hedge against US dollar inflation, this could lead to serious problems. However, he also insists that the industry has many advantages, especially through tokenization. Larry Fink stated that the best interests of cryptocurrency are not always aligned with traditional finance (TradFi) or the US dollar. He said, "For decades, the United States has benefited from the status of the US dollar as the global reserve currency. However, this does not guarantee that it will always be so. By 2030, mandatory government spending and debt repayment will exhaust all federal revenue, leading to a permanent deficit. If the United States cannot control its debt... it may give up this status to digital assets such as Bitcoin It should be clarified that Fink insists on supporting cryptocurrency and has listed some practical problems that he believes cryptocurrency can solve. He has shown a particular interest in asset tokenization, claiming that digital native infrastructure will improve the traditional financial ecosystem and democratize it. Despite these advantages of cryptocurrency, Fink also recognizes that if not managed properly, cryptocurrency may pose a danger to the US economy. He talked about the long-standing practice of using cryptocurrency to hedge against inflation, which is a wise approach for many assets.