BlackRock executive Nicholas Peach said that even a small shift in Asian portfolio allocations toward crypto could generate enormous inflows for the digital asset market.
Speaking during a panel at Consensus Hong Kong, Peach noted that if advisors recommended just a measly 1% allocation to crypto across standard portfolios in Asia, it could translate into nearly $2 trillion in new capital entering the space, according to CoinDesk reporting.
Peach pointed to the scale of household wealth across the region, estimating roughly $108 trillion in total assets, and argued that modest adjustments in traditional investment models could have an outsized effect on crypto markets.
The comments come as BlackRock continues to see strong demand for crypto exchange-traded funds, particularly through its iShares unit. The firm’s U.S.-listed spot Bitcoin ETF, IBIT, has grown rapidly since launching in January 2024 and now holds nearly $53 billion in assets under management.
Peach added that Asian investors have contributed significantly to flows into the U.S.-listed crypto ETFs.
Regulators in markets including Hong Kong, Japan, and South Korea are also moving toward broader crypto ETF offerings, signaling growing institutional acceptance across Asia.
BlackRock CEO: Bitcoin, crypto has potential
Last year, Larry Fink, the CEO of BlackRock, publicly shifted from being a Bitcoin critic to acknowledging its potential.
Fink described Bitcoin as an “asset of fear,” often bought as a hedge against financial insecurity, geopolitical instability, and currency debasement but he warned that Bitcoin remains volatile and heavily influenced by leveraged players, making short-term trading risky.
However, he suggested it can provide meaningful portfolio insurance when held as a hedge.
Also last year, BlackRock expanded Bitcoin access globally, launching its flagship iShares Bitcoin ETF (IBIT) in Australia.
The world’s largest asset manager listed the product on the Australian Securities Exchange (ASX) under the ticker IBIT, giving local investors regulated exposure to Bitcoin through a traditional exchange-traded structure.
At the time of these developments last year, Bitcoin was trading near all-time highs above $100,000. Currently Bitcoin is down 30% from those levels, trading near $68,000.
Last week, bears pushed the price down sharply, sending it into oversold territory on the weekly RSI, which triggered a strong rebound.
After such a steep drop and a bounce from $60,000, the price is likely to stay range-bound over the coming weeks. Don’t expect any movement above $80,000 or below $60,000 during this period, according to Bitcoin Magazine data.