Larry Fink Warns Bitcoin Could Overtake Dollar’s Dominance

Larry Fink Warns Bitcoin Could Overtake Dollar’s Dominance

BlackRock CEO Larry Fink warned that ballooning U.S. deficits could erode the dollar’s reserve status and open the door for Bitcoin to fill the void. “If the U.S. doesn’t get its debt under control… America risks losing that position to digital assets like Bitcoin,” he wrote in his annual letter to shareholders.

Fink emphasized that decentralized finance is a powerful innovation, but its rise may challenge America's economic leverage if investors shift trust to crypto. His remarks land amid mounting anxiety around President Trump’s policy shifts and growing interest in inflation-resistant assets.

BlackRock’s spot Bitcoin ETF, IBIT, now holds nearly $50 billion in assets, with retail demand driving half that total. The firm’s tokenized fund, BUIDL, is also approaching a $2 billion milestone, on track to become the largest on-chain investment product.

To unlock deeper institutional adoption, Fink urged the industry to solve identity verification challenges in digital finance. “Every stock, every bond, every fund, every asset can be tokenized.… but we must solve digital verification, too,” he wrote.

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Strategy Adds Another 22,000 BTC For $1.92 Billion

Strategy announced on Monday that it purchased 22,000 more Bitcoin for $1.92 billion, paying an average price of $87,000 per coin. The Virginia-based firm, led by Michael Saylor, now holds 528,185 BTC worth roughly $35.6 billion, per its latest filing. The acquisition follows a familiar playbook: raising funds via stock sales, including $1.2 billion from common shares and $1.85 million through its preferred STRK stock.

This mirrors Strategy’s February purchase and represents the third consecutive week of Bitcoin buys. Shares briefly dipped below $274 but recovered during the day, while STRK fell to $86.26 amid market volatility linked to President Trump’s ongoing trade war. The company still has over $20 billion in authorized preferred stock available to fuel future purchases.

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Trump Family Seizes 60% Control of World Liberty Financial

Reuters reported that the Trump family now controls 60% of World Liberty Financial via a new entity, WLF Holdco LLC. Co-founders Zak Folkman and Chase Herro were quietly removed as controlling parties of the platform as DT Marks DeFi, a Trump-affiliated LLC, assumed the majority stake. The protocol raised $550 million through token sales and disclosed that the Trump family is entitled to 75% of net revenue.

World Liberty’s crypto treasury once exceeded $360 million and still holds over $80 million in digital assets after recent liquidations and repurchases. Over 85,000 wallets participated in WLFI token sales, with most of the capital coming from whales, including Tron founder Justin Sun. The Trump family also appears in project roles, with Eric Trump serving as chief strategy officer and Barron Trump titled "chief DeFi visionary."

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Trump-Backed Firm Launch ‘American Bitcoin’ Mining Venture

Bitcoin miner Hut 8 announced Monday it has merged with American Data Centers, a firm backed by Eric and Donald Trump Jr., to create a new mining venture called American Bitcoin. The deal grants Hut 8 an 80% stake and control over operations, while the Trump-backed group holds 20%. Hut 8 will contribute more than 60,000 ASIC machines to the newly formed entity.

Shares of the Florida-based miner jumped over 6% in pre-market trading despite being down 46% year-to-date. The venture’s executive team includes Mike Ho as chairman and Eric Trump as chief strategy officer. The project adds to the Trump family’s growing crypto portfolio, which includes World Liberty Financial and several meme coins.

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Data of the Day

According to CoinShares’ March 31 report, global crypto ETPs attracted $226 million in inflows last week, extending the rebound that began two weeks ago. Bitcoin led with $195 million in inflows, while altcoins like Ethereum, Solana, and XRP also turned positive. However, total assets under management continued to drop, falling below $134 billion by March 28.

CoinShares analysts said higher-than-expected U.S. inflation data likely tempered investor enthusiasm despite the inflows. Bitcoin short products saw outflows for a fourth week, indicating a shift in sentiment. Still, total ETP AUM remains 5.7% lower since March 10, and Bitcoin holdings alone hit their lowest level since the 2024 U.S. election.

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More Breaking News

• Coinbase users have reportedly lost over $46 million to phishing scams in March, with blockchain sleuth ZachXBT flagging one theft alone worth 400 BTC.
• NFT marketplace X2Y2 will shut down on April 30 due to collapsed trading volumes and will pivot to building decentralized AI-powered financial tools.
• Crypto users in South Korea have surpassed 16 million, with officials predicting the number could hit 20 million by year’s end amid rising interest post-Trump victory.
• Australia’s financial watchdog AUSTRAC has warned crypto ATM operators over money laundering concerns, saying many machines may enable fraud and scams.
• Darknet markets are shifting back to Bitcoin after Monero’s delisting from major exchanges like Binance, reducing access to privacy-focused coins.
• A California bill now includes “Bitcoin rights,” aiming to protect self-custody and crypto payments while barring public officials from promoting digital assets.
• Japan plans to give crypto assets formal financial product status and may introduce insider trading rules similar to traditional securities regulations.

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