BlackRock, the world's largest asset manager, recently presented two distinct presentations for Bitcoin [BTC] and Ethereum [ETH].
The parallel presentation was presented at a digital asset conference in Brazil. BlackRock’s Robbie Mitchnick described BTC as a “risk-off” asset, on par with or superior to gold.
ETH, on the other hand, is presented as a “risk-on” asset, similar to US stocks.
BTC is money; ETH is speculation
The asset management firm touts BTC as a global currency alternative and a hedge against the loss of trust in governments and the constant devaluation of fiat coins.
Source: BlackRock
ETH, by contrast, is seen as a speculative investment in blockchain technology, an investment that Mitchnick sees as the equivalent of US stocks.
He noted,
“On one hand, you have BTC, a commodity like gold and an alternative to stocks and bonds. Ethereum, more of a long-term technological bet that this blockchain will bring more use cases and value to the economy in the future.”
A portion of the crypto community agrees with Mitchnick's presentation, emphasizing that BTC is “money” with less inflationary pressure than fiat currencies, which lose value every year.
But it also settles a long-standing argument: ETH is not money. In fact, since the introduction of Blobs earlier this year, ETH’s inflation has increased, making it less of a “super money.”
If the prediction holds, BTC could rally further in future geopolitical tensions, while ETH could decline in such scenarios.
BlackRock’s perspective is important because it is a widely recognized trend-setter. Along with Grayscale, the asset managers are considered responsible for the shift in the US and the eventual approval of BTC spot ETFs in the US.
Since their launch, BlackRock ETFs have surpassed all alternative offerings and passed major milestones.
At the time of writing, its BTC ETF, iShares Bitcoin Trust [IBIT], has total net inflows of $21.5 trillion with nearly $23 trillion in net assets.
However, since it began trading in July, BlackRock's ETH ETF, ETHA, has garnered $1.1 trillion in total inflows.
As a result, the world’s largest asset manager could influence how other investors view the sector. According to some market observers, the message seems clear — Bitcoin is money, while the rest of cryptocurrencies are speculation.
Meanwhile, BTC is valued at $62k, down 5% on the weekly chart. On the other hand, ETH is valued at $2.4k, down 8.5% over the same period.
