According to a recent report by BlackRock, Bitcoin is being adopted faster than past transformative technologies such as the internet and mobile phones. The report highlights Bitcoin’s rapid journey from a niche innovation in 2009 to becoming a globally recognized asset, driven by various factors including demographic trends, economic shifts, and the digital transformation of finance.
The report notes that younger generations, often referred to as “digital natives,” are significantly more inclined to embrace Bitcoin compared to older generations like Gen X and Baby Boomers. Their familiarity with technology and preference for digital-first solutions have positioned them as the primary demographic driving crypto adoption.
Economic factors such as rising inflation, geopolitical tensions, and concerns about traditional banking systems have also played a key role in Bitcoin’s growing popularity. In uncertain times, Bitcoin’s independence from central authorities has resonated with investors worldwide, presenting itself as a decentralized alternative to traditional financial systems.
Additionally, the maturation of digital asset infrastructure has made it easier for people to invest in Bitcoin. This evolving infrastructure has not only lowered barriers to entry but also created new use cases for the cryptocurrency, integrating it further into the financial landscape.
BlackRock’s report also advocates for its spot Bitcoin exchange-traded fund (ETF), IBIT, as a simpler way for investors to gain exposure to Bitcoin. With nearly US$38 billion in inflows and over US$50 billion in assets under management, IBIT has established itself as the largest spot Bitcoin ETF.
BlackRock recently launched a new Bitcoin ETF on Cboe Canada, trading under the same IBIT ticker but denominated in Canadian dollars, while US dollar-denominated units trade under the symbol IBIT.U.
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