ARK Invest CEO and crypto proponent Cathie Wood says that Bitcoin is set to grow massively as a store of value following the recent bank collapses. She believes that Bitcoinโs stability and a huge rally in the wake of US regional banks collapsing is a major testament to the fact that Bitcoin is the future of money.
Cathie Wood Remains Bullish On Bitcoin
In a recent interview with Barronโs, Wood maintained that she remains bullish on digital assets and highlighted three reasons she wonโt be backing down on her investments. According to her, Bitcoin stood tall and rose by 60%, from $19,000 to $30,000, when regional banks like First Republic, SVB, and Signature Bank collapsed. She attributed this run to investors seeing the asset as a safe alternative for storing their wealth.ย
Wood explained:
We see three revolutions taking place because of crypto. Bitcoin will dominate the first one, the money revolution. The biggest proof is that when regional-bank stocks were falling apart earlier this year, Bitcoin went from $19,000 to $30,000. That was a flight to safety, and we expect it to accelerate. The centralized monetary system we have today is an aberration. We could be going back to the future โ before the Federal Reserve existed โ under a digital, rules-based monetary system with no government oversight.
The other reasons for her bullishness on digital assets relate to decentralized finance (DeFi) and digital property rights involving tokenizing several physical assets in real estate and other relevant industries.ย
โThe second revolution is in financial services, or the so-called DeFi, which will be Ethereum-based. There are a number of infrastructure providers out there. Itโs the survival of the fittest, and Iโm excited to see who wins,โ the CEO said.
Last but not least, according to Woord, โis digital property rights, or what many call NFT or the metaverse. People are already buying real estate in virtual worlds. Our young research associates come into the office wearing jeans and T-shirts with no logos, but they are getting their status in the virtual world.โ
BTC bulls struggle to keep bears at bay | Source: BTCUSD on Tradingview.com
Weighing In On Coinbaseโs Battle With SEC
During the interview, Cathie Wood also discussed Coinbaseโs ongoing battle with the United States Securities and Exchange Commission (SEC). Woodโs ARK holdings are one of the largest holders of Coinbaseโs stock. She believes that the crypto exchange will ultimately get victory in the SECโs lawsuit against it for the sale of unregistered securities.ย
According to her, the court will rule that the SEC has gone beyond its regulatory purview, and in the long run, the US Congress will pass crypto-friendly bills.ย
โMeanwhile, the legislative branch has awakened to the fact that crypto is a new asset class and we might need new legislatures to give the regulators some guidance,โ the ARK Invest CEO added.
โThose two branches of government have given us great confidence that Coinbase will come out of this as a winner. Many Coinbase competitors either havenโt entered the US or moved out because of our regulatory system. Coinbase has stayed to fight. We think theyโll be rewarded accordingly.โ
Cathie Woodโs ARK had bought $21.6 million worth of Coinbaseโs stock in early June, just immediately after the SEC filed a lawsuit against the crypto exchange.
Featured image from ETF Stream, chart from Tradingview.com
