Larry Fink: 'No' to Memecoins, 'Yes' to Tokenization"

If there are three things that fascinate BlackRock CEO Larry Fink about crypto, they are Bitcoin, Ethereum and tokenization. He believes the SEC should allow tokenization for bonds and stocks "as soon as possible," the 72-year-old said during an interview with CNBC at the World Economic Forum in Davos.

Fink explains that this could simplify many processes within finance: "BlackRock, for example, would never have to participate in proxy voting again."

BlackRock uses proxy voting to vote on behalf of their investors at companies' annual shareholder meetings, where conflicts of interest often arise because investors do not always share the same views.

Tokenization could revise this voting process. Investors who hold shares in companies through BlackRock could vote directly without transferring their vote.

"This would dramatically reduce the cost of stocks and bonds," Fink adds.

Since March 2024, BlackRock has also been actively supporting the development of tokenization through the BUIDL fund.

However, in the interview, the asset manager's CEO also made it clear that he is not a fan of memecoins. This is nothing that interests him, which also rules out the launch of a memecoin ETF.

In contrast, he recently caused a stir at Davos with a bold prediction about the future price of Bitcoin.