BlackRock's Head of Digital Assets: Cryptocurrency Derivatives Leverage Proliferation, Bitcoin Volatility Intensification

BlockBeats News, February 15: During the Bitcoin Investor Conference, Robert Mitchnick, Head of Digital Assets at BlackRock, stated that the rampant leverage speculation on cryptocurrency derivative platforms is exacerbating market volatility and may harm Bitcoin's long-term positioning as a stable institutional hedge tool.

Mitchnick pointed out that Bitcoin's fundamentals as a "global, scarce, decentralized monetary asset" remain strong, but its short-term trading behavior is increasingly resembling a "leveraged Nasdaq," a perception that will significantly raise the threshold for conservative institutional investors to allocate to this asset. Mitchnick also refuted the view that a spot ETF would worsen market volatility. (CoinDesk)