BlackRock's head of digital assets: US recession would be big catalyst for Bitcoin

Bitcoin is designed to thrive in an environment of high government spending and low interest rates, so experts say it would be a big beneficiary if a U.S. economic recession were to occur.
Robbie Mitchnick, head of digital assets at BlackRock, said in a recent media interview that Bitcoin
Yin said he believes the company is likely to thrive in a recession, a view that contradicts what some analysts think.
He said, "I don't know if there will be a recession, but if there is a recession, I will invest in Bitcoin.
"This will be a major catalyst," he said, explaining that "Bitcoin is buoyed by environments of high government spending, rising deficits, lower interest rates, and monetary stimulus that occur during a recession."
"Bitcoin could also be driven by fears of social unrest, which unfortunately is what happens in an economic downturn," he added.
Mitchnick said the Bitcoin market has yet to adjust properly, explaining that many people still view Bitcoin as a risk asset.
"Risk assets like stocks, commodities and high-yield bonds tend to see losses during economic crises, but I believe Bitcoin has been miscategorized," he said.
But it's part of an educational opportunity in a market and asset class that's still in its infancy." BlackRock said some clients are hearing these conflicting narratives, according to Mitchnick.
"Some of our more sophisticated, long-term bitcoin accumulator clients see the market downturn as a buying opportunity and don't mind the current economic headwinds," he said.
He said.