Bitcoin Holds Diversification Case as AI Opportunities Shift Beyond Tech
BlackRock's U.S. Head of Equity ETFs, Jay Jacobs, discussed the role of Bitcoin in diversifying portfolios and the opportunities arising from artificial intelligence (AI).
Jacobs argued that AI's best bets now lie outside traditional tech sectors, citing materials, utilities, and digital infrastructure as areas that could benefit from AI's physical buildout. He noted that large language models are already improving themselves, but physical inputs such as copper and zinc take years to develop.
The BlackRock executive also pushed back on the idea that Wall Street ownership has changed what Bitcoin is. According to Jacobs, when investors worry about geopolitics or fiat currency debasement, Bitcoin should benefit due to its fundamental diversifying nature.
Jacobs' comments came as the iShares Bitcoin Trust (IBIT) ETF recorded over $108 million in net inflows on Friday, with IBIT stock closing up over 6% that day and holding roughly $63 billion in net assets.