Edward Dowd – former Managing Director at BlackRock – thinks that bitcoin will be a much more stable asset once the bear market is over. He described it as “the Amazon of the crypto era,” predicting it will hold a spot in everyone’s portfolio in the future.
Crypto Winter Won’t Beat Bitcoin
The recent decline in the crypto market, and in particular the price of bitcoin, has created many skeptics who have predicted a bleak future for the asset class and even its end. However, former BlackRock equity portfolio manager – Edward Dowd – is not one of them.
In a recent interview, he compared the crypto winter to the dot-com bubble at the end of the last century. In his view, “robust” cryptocurrencies will survive the turbulence, while meaningless projects will capitulate. Bitcoin’s underlying technology, transparency, and the freedom it provides will undoubtedly help the asset overcome the issues, Dowd argued.
He further pointed out that BTC is “the Amazon of the crypto age,” which will eventually overtake gold. Dowd’s narrative stems from the fact that it is easier to trade with the primary digital asset than the precious metal. People can buy small portions of it and shouldn’t worry about keeping them stash in safes. All they need to do is not lose their private keys.
The former BlackRock executive forecasted that bitcoin would occupy a spot in everyone’s portfolio one day. Nonetheless, Down did not reveal whether he had already distributed some of his wealth in the leading cryptocurrency.
What is the position of the CEO?
Earlier this year, the current CEO of BlackRock – Larry Fink – also gave his two cents on crypto assets. He claimed that his multinational investment management company is “actively studying digital currencies, stablecoins and underlying technologies to understand how they can help us serve our customers.” Fink further highlighted the huge investor appetite for crypto services posted by clients.
The CEO touched upon the matter again shortly after Russia’s invasion of Ukraine. He opined that the military conflict could harm fiat currencies and boost the adoption of bitcoin and altcoins.
Interestingly, Fink was not nearly as supportive of the digital asset universe at the time. In 2017 he described BTC as a “money laundering index”, while in 2020 he argued that the advancement of cryptocurrency could undermine the dominance of the US dollar as the currency of world reserve.
