BlackRock CIO Rick Rieder said he believes in the potential of Bitcoin as a large-scale substitute for gold. “It is much more functional than transferring gold bars to others,” he explained of the cryptocurrency’s transportability.
Rieder was invited to comment on the recent rise in the currency, which exceeded $ 18,000, on CNBC. He said that “it is difficult to say whether bitcoin is worth the price it is trading today”, but believes that BTC is here to stay.
In addition to being director of BlackRock, the largest asset manager in the world, Rieder is a member of the Financial Markets Investment Advisory Committee of the Federal Reserve Bank of New York.
For the investor, it is important to realize the good receptivity, especially of millennials, of cryptocurrencies. In addition, blockchain transparency and the ability to track transactions were cited as good features.
“I think Bitcoin is here to stay. I have none in my personal or corporate portfolios, but do I believe it is a durable mechanism with the potential to replace gold? Yes, I think, ”he said.