Schiff says the latest inflation figures show that the central bank’s interest rate measures are not doing enough to curb inflation. While he sees it as a worrying sign, the fact that Jerome Powell, current Fed head, called Bitcoin a digital alternative to gold did not encourage Peter Schiff.
For him, Bitcoin is neither money nor an adequate substitute for gold. The prospect of the cryptocurrency integrating with state mechanisms raises further concerns, suggesting the potential for economic disruptions, per the expert’s reflections on adding Bitcoin to strategy reserve calls.
However, a different narrative is emerging from BlackRock (NYSE:BLK), the world’s largest asset manager. Bitcoin has not just entered the conversation but, in the view of one of the world’s largest hedge funds, has matured enough to claim a strategic spot in traditional portfolios.
Low correlation with traditional markets is a key point in BlackRock’s argument. While Schiff critiques Bitcoin for its lack of intrinsic value, BlackRock sees it as a hedge against systemic risks, such as geopolitical tensions and fragmented financial systems.
Even with its swings, Bitcoin’s calculated inclusion, the report notes, mirrors the risk levels of tech giants dominating portfolios today. By embracing cryptocurrency, BlackRock signals a growing institutional shift that defies traditional skepticism.
This article was originally published on U.Today
Source: Cryptocurrency - investing.com
