Speaking at the Future Investment Initiative in Riyadh, Larry Fink said crypto assets are a commodity that investors buy out of fear of derogation and personal safety.
What does Larry Fink say about BlackRock's investment stance on crypto assets?
At the Future Investment Initiative (FII) held in Riyadh on October 28, 2025, Larry Fink spoke to Bloomberg reporter Omar El Chimouri.:
“Owning crypto assets and gold are assets of fear…You own these assets because you're afraid that the value of the assets will go down. You're worried about your financial security. You're worried about your physical security.”
The comments, reported in a Bloomberg report, frame BlackRock's investment stance, which treats such holdings as protective stores of value.
Does Fink's comments on cryptocurrencies treat crypto gold assets as a gold safe haven or as a crypto fear hedge?
Are you interested in gold and precious metals?
Fink's comparison classifies gold and cryptocurrencies as assets purchased for security purposes, reflecting the growing interest in precious metals among investors concerned about currency depreciation and geopolitical risks. This comment indicates sentiment rather than an explicit allocation request from BlackRock.
Can cryptocurrencies act as a hedge against crypto fears?
Fink portrayed cryptocurrencies as an expression of fear, a framework that suppresses the desire for large speculative positions at the financial institution level, rather than traditional risk-on allocation. Analysts say such language tends to encourage flows into regulated vehicles and storage solutions rather than unregulated retail exposure. Trading desks also report short-term hedging activity for liquid instruments during risk-off phases, even when strategic allocations are limited.
Hint: When responding to fear-based demands, distinguish between tactical evacuation and strategic allocation.
Will alternative asset inflows increase due to government debt concerns?
Rising government debt concerns and inflationary pressures may sustain demand for non-traditional stores of value and support an influx of alternative assets as investors seek diversification.
BlackRock's public messages are monitored for product adjustments or advice to clients. Firm statements often shape organizational positioning. For corporate communications and customer guidance, please see BlackRock's statement.
Larry Fink's FII remarks reported by Bloomberg on October 28, 2025, in short, consider gold and cryptocurrencies to be fear-driven assets, which could impact short-term flows to alternative stores of value.
