In a recent development, BlackRock’s CEO Larry Fink has called on the US Securities and Exchange Commission (SEC) to approve the tokenization of bonds and stocks. He further explained how this move would make things easier for investors.
Larry Fink Calls On SEC To Approve Tokenization Of Bonds
In a CNBC interview, BlackRock’s CEO Larry Fink called on the US SEC to approve the tokenization of bonds and stocks. He added that this move will simplify things and make things easier for institutions and investors.
Fink gave an example of how tokenization will help his company save costs. They will no longer have to vote on a proxy vote again because every investor will be notified through the tokenization of equities.
He added that this move will also save costs for investors and potential ones since it will bring down the cost of owning these stocks and bonds. In line with this, he affirmed that these are the types of financial reforms that the market needs.
Larry Fink’s call for the tokenization of bonds and stocks came as he admitted that he is a “huge believer” in crypto, blockchain technology, and tokenization.
It is worth mentioning that BlackRock already has a tokenized market fund called BUIDL. Built on the Ethereum network, it is the largest tokenized money fund on a public blockchain, with a market cap of just over $600 million.
Meanwhile, the BlackRock CEO’s latest comment comes a day after he predicted that the Bitcoin price could hit $700,000 if sovereign wealth funds allocate 2%-5% of their portfolios to the flagship crypto.
The post BlackRock CEO Larry Fink Calls On SEC To Approve Tokenization Of Bonds appeared first on CoinGape.
