The largest investment company in the world, known as BlackRock, has continued its bullish forecast for the cryptocurrency, saying that it sees “wider use” in the future in its weekly commentary report that was released on Monday, 26th of February.
The investment management giant with $5.7 trln in assets under its control said that it would take some time for alternative investments of the cryptocurrency to dissipate so it could enter traditional investment portfolios.
The report determined:
Our bottom line: We see cryptocurrencies potentially becoming more and more widely used in the future, as the markets mature. For now, we also believe that they should just be considered by those that can stomach potentially complete losses.
BlackRock stands out among fellow finance industry giants with its quietly supportive stance on Bitcoin, as well as other cryptocurrency assets’ best investment potential.
Later in January, Cointelegraph reported that the corporation’s chief multi-asset strategist had gone public with writing some comments saying that crypto was being kept under “close review” as an “interesting development.”
Isabelle Mateos Y Lago said that the continued interest despite volatile periods constituted proof that there is something to the phenomenon.
The mood sharply contrasts with some other investment stalwarts. This month, Charlie Munger, who is the vice chairman of Berkshire Hathaway, described Bitcoin as totally asinine, and he also said investing in it was “disgusting.”
Meanwhile, on the topic of Blockchain, BlackRock sees some similar barriers to full global economy penetration.
A blockchain-based, as well as single shared financial database, could eliminate inefficiencies and risks which are associated with human processes, but adoption at scale would also require a massive shift in software development and a well-constructed maintenance model.
“Blockchain also needs to overcome significant hurdles to reach its promising future.”