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.
The Crypto Winter Will Not Defeat Bitcoin
The recent decline of the crypto market, and specifically bitcoin’s price, has created numerous skeptics who predicted a grim future for the asset class and even its end. However, the former equity portfolio manager at BlackRock – Edward Dowd – is not among 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 highlighted BTC as “the Amazon of the crypto era,” which will eventually surpass gold. Dowd’s narrative comes from the fact that it is easier to deal with the primary digital asset than with the precious metal. People can buy small portions of it and should not worry about keeping their stash in vaults. 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 CEO’s Stance?
Earlier this year, BlackRock’s current Chief Executive Officer – Larry Fink – also gave his two cents on crypto assets. He asserted that his multinational investment management corporation is actively “studying digital currencies, stablecoins, and the underlying technologies to understand how they can help us serve our clients.” Fink further outlined the huge investors’ appetite for crypto services displayed by customers.
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 nowhere near that supportive of the digital asset universe back in the days. In 2017, he described BTC as an “index of money laundering,” while in 2020, he argued that the advancement of the cryptocurrency could undermine the dominance of the US dollar as the world’s reserve currency.