CEO says most crypto companies will not exist after the collapse of crypto exchange FTX. However, the executive remains optimistic about blockchain technology.
Blackrock CEO talks about his FTX demise and the future of cryptocurrencies
CEO of Blackrock Inc. (NYSE: BLK), the world’s largest asset management company One Larry Fink talked about cryptocurrencies and cryptocurrencies. Collapsed exchange FTX during an interview at the New York Times Dealbook Summit last week.
As of Q3, Blackrock’s assets under management (AUM) were $7.96 trillion. The wealth management firm invested his $24 million in Sam Bankman-Fried’s (SBF) FTX through a billionaire fund it manages, the CEO explained.
Regarding the FTX meltdown, Fink said: of the main results. The CEO of BlackRock believes most crypto companies we see today do not exist, stating:
In fact, I don’t think most companies exist.
Despite the issues surrounding FTX, Fink said blockchain technology is relevant for the future. Emphasizing that the technology behind the crypto will “be very important,” the BlackRock boss said:
Cryptocurrency exchange FTX filed for Chapter 11 bankruptcy on his November 11th, Bankman-Fried stepped down as his CEO. The company owes billions of dollars to an estimated million creditors. Other global asset managers that have invested in FTX include the Singapore government’s Temasek Holdings, Tiger Global, Sequoia Capital and Ontario Teachers’ Pension Plan.
The FTX meltdown has caused many to demand tighter crypto oversight. Last week, U.S. Treasury Secretary Janet Yellen said there was not enough regulation of cryptocurrencies. “This is the Lehman Moment in cryptocurrencies, and cryptocurrencies are big enough and have hurt investors quite a bit,” she said.
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