Cathie Wood on Bitcoin

“My background is both economics and finance. So I feel very confident in what I’m saying: this is the first global private, meaning no government oversight, digital rules-based monetary system. When I’m explaining it like that I ask everyone to listen to each of those words, each one of them is very important. This is one of the most profound innovations of our time.” — Cathie Wood Cathie Wood is the founder, CEO and CIO of Ark Invest. In this interview, we discuss investing in disruptive technologies, the importance of research for investment, deflationary signals, uncertainty in the Fed’s decision-making, and Ark’s continued bullish outlook for Bitcoin.     - - - -  Back in 2015, Cathie Wood’s Ark Invest became the first public fund manager to invest in Bitcoin. This was a very early trade for an institutional basis, prior to some of the major news events that have led others to have followed Ark in recent years. But this is Ark’s business, identifying nascent technologies that could serve to be the basis for real societal change.  Cathie Wood’s business strategy is to get into the detail of the markets they're interested in. This means research by informed analysts who can unpick the strengths, weaknesses, opportunities and threats for each specific industry. Any bullish statement they make is based on hard business data, not just an extrapolation of financial performance.  The elephant in the room for Ark is that their Innovation ETF is down 75% from its highs in the early part of 2021. This has placed Ark and Cathie in the firing line of commentators. And for every negative article or tv piece, there will be a line of nervous investors seeking reassurance. This is when research pays off - it matters when you have a strong narrative to fall back on if you want to maintain investor confidence. So, when Ark makes statements about Bitcoin we should all take note, as they’re not in the market for unwarranted hyperbole. Well, they remain one of the biggest cheerleaders for Bitcoin within the institutional space. Ark followed up a bullish prediction for Bitcoin’s valuation at the beginning of this year by doubling down on their forecast a few weeks ago: they are expecting a $1 million per coin valuation in the coming years. In an interview with Bloomberg earlier this month, Ark stated Bitcoin is in “an arms race” against traditional finance and asset classes. Ark is confident of Bitcoin’s ability to be at the heart of a revolution in money given its multiple use cases. Seeing as their fund has tracked the performance of the S&P500 over the past few years, despite it being an extended and brutal bear market for tech stocks, you wouldn’t bet against them getting this call right. - - - - This episode’s sponsors: Gemini - Buy Bitcoin instantly Ledn - Financial services for Bitcoin hodlers Bitcasino - The Future of Gaming is here Pacific Bitcoin - Bitcoin‑only event, Nov 10 & 11, 2022 Ledger - State of the art Bitcoin hardware wallet Wasabi Wallet - Privacy by default Texas Blockchain Summit - Nov 17-18, 2022 | Austin, Texas BCB Group - Global digital financial Services ----- WBD570 - Show Notes ----- If you enjoy The What Bitcoin Did Podcast you can help support the show by doing the following: Become a Patron and get access to shows early or help contribute Make a tip: Bitcoin: 3FiC6w7eb3dkcaNHMAnj39ANTAkv8Ufi2S QR Codes: Bitcoin If you do send a tip then please email me so that I can say thank you Subscribe on iTunes | Spotify | Stitcher | SoundCloud | YouTube | Deezer | TuneIn | RSS Feed Leave a review on iTunes Share the show and episodes with your friends and family Subscribe to the newsletter on my website Follow me on Twitter Personal | Twitter Podcast | Instagram | Medium | YouTube If you are interested in sponsoring the show, you can read more about that here or please feel free to drop me an email to discuss options.