The conflict between Russia and Ukraine may accelerate the spread of digital currencies for international transactions. This was stated by the CEO of the American investment company BlackRock Inc. Larry Fink.
“A less discussed aspect of the war is the potential impact on accelerating the spread of digital currencies. The war will force countries to reassess their dependence on currencies,” Fink wrote in his annual letter to shareholders.
“A global digital payment system, if carefully designed, can streamline international transactions while reducing the risk of money laundering and corruption,” said Fink.
According to Fink, BlackRock explores cryptocurrencies, stablecoins and related technologies.
“Digital currencies can also allow for lower cross-border payment costs,” added the head of BlackRock.
At the same time, Fink warned that the conflict between Russia and Ukraine marks the end of the period of globalization.
In his opinion, companies and state authorities will everywhere assess their dependence on other countries.
BlackRock is the world’s largest company by assets under management, while Fink is one of the most powerful people in global finance, writes Barron’s.