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BlackRock’s 2026 AI Report Warns on Treasuries, Maps Institutional Shift to Crypto

The asset manager argues rising U.S. borrowing is eroding the case for long‑duration bonds, steering institutions toward tokenized finance.

Overview

  • BlackRock projects U.S. federal debt will exceed $38 trillion and warns that heavier borrowing increases vulnerability to bond yield spikes and policy frictions between inflation control and debt service.
  • The report signals fragility in long‑term Treasuries could push institutions to alternative assets such as bitcoin, with coverage citing roughly $100 billion allocated to BlackRock’s bitcoin ETFs and some analysts forecasting new price highs as a prediction.
  • Larry Fink describes tokenization as the next generation of markets, and the report frames it as a modest but meaningful step toward a tokenized financial system.
  • Samara Cohen says stablecoins are no longer niche and are emerging as a bridge between traditional finance and digital liquidity.
  • BlackRock estimates AI data centers could require up to 20% of current U.S. electricity by 2030 and notes miners are boosting revenue by leasing power and GPU capacity to AI firms.