BlackRock CEO Larry Fink Calls Fake Bitcoin ETF Reports an Indication of “Flight to Quality”

By Aaron Feuerstein October 18, 2023 In Bitcoin, Blackrock, ETF
Source: Adobe Stock
  • After false news about a Spot Bitcoin approval, BTC initially skyrocketed and crashed to the same level.
  • BlackRock’s CEO Larry Fink considers crypto a safe-haven asset, among others.
  • Fink believes sticky inflation will remain likely due to current global issues.
  • Crypto investor Scott Melker shared his thoughts on the fake news.

Larry Fink, BlackRock’s CEO and chairman, spoke with Fox Business’s Liz Claman and Charlie Gasparino on the Claman Countdown about the week’s hottest topic in crypto. A tweet by CoinTelegraph suggested wrongly that an application for a BlackRock Spot Bitcoin ETF had been approved.

The tweet, which was later corrected, caused Bitcoin (BTC) prices to surge and then plummet in a very short time, resulting in millions of dollars in liquidations.

Larry Fink on Fake Spot Bitcoin ETF Approval News

Fink admitted that he had only heard about the rumour roughly an hour before the interview, as he was occupied with other matters throughout the day.

Actually, I was busy all day. I probably heard it an hour ago.

Larry Fink

Co-host Gasparino then explained that the false news was clarified by Ellie Terrett, Fox Business journalist and producer, who debunked its authenticity. Fink did not dive into the specifics but noted the incident as indicative of the burgeoning interest in cryptocurrency.


He emphasised the consistent demand BlackRock encounters from global clients regarding the crypto space.

Given ongoing geopolitical issues like the Israeli conflict and global terrorism, many are seeking safe-haven assets, including treasuries, gold, and even crypto. Fink suggested that crypto may increasingly serve as a refuge during turbulent times.

Fink stated, “And I believe crypto will play that type of role as a flight to quality.”

Some commentators took to X to express their excitement about the endorsement, with one user calling Fink “bitcoin’s marketing department.”

Others Weigh in on the Fake Reports

Crypto Investor Scott Melker shared his thoughts on why he believed the fake approval news surfaced. He stated that it may have been that CoinTelegraph got hacked and the fake news was posted to manipulate price.

He also mused that it could be that the ETF will soon be approved and the news was leaked, making someone a lot of money. However, he thought this unlikely given the Securities and Exchange Commission’s way of handling the ETF applications.

Melker mentioned another scenario, where, through mistake or a hack, the tweet was picked up by several news outlets without any vetting. This creates a feedback loop where one relies on the publication of the previous as a source reinforcing the perception of authenticity and significance.

Fink on Global Market Dynamics

Larry Fink further discussed the potential impact of geopolitical events, specifically in Israel, on global markets. He believes that if conflicts remain localised, markets have largely anticipated their effects.

The key variable, according to him, is the oil market. He highlighted the market’s resilience even amidst global terrorism and geopolitical tensions in regions like Israel and Ukraine.

Fink attributes some of this resilience to technological advancements, especially in AI and robotics, which he thinks will lead to more onshoring and job creation in the U.S., countering the popular belief of tech-induced job losses.

Aaron Feuerstein

Aaron Feuerstein

Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.

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