Bitcoin bull Cathie Wood believes that the time for gold has come and gone. The CEO of Ark Invest recently discussed the enduring debate between traditional safe haven assets and digital currency on the Bloomberg UK podcast, Merryn Talks Money.
In a hypothetical scenario where Wood had to choose between holding gold, a cash deposit account, or Bitcoin for a decade, she was clear in her stance. “It’s a hedge against inflation and deflation. It’s digital,” she passionately advocated for Bitcoin. Wood acknowledged the time-tested appeal of gold but highlighted a crucial difference. “Gold already has its demand; it’s happened,” she explained. In contrast, she emphasized that Bitcoin remains a fresh and evolving asset, with institutions only beginning to scratch the surface of its potential.
Wood’s perspective aligns with the prevailing sentiment among younger investors who increasingly favor Bitcoin over gold. She pointed out that Bitcoin’s allure lies in its technological novelty and the rising enthusiasm from millennials and Gen Z, who see it as a more attractive store of value compared to the yellow metal.
Intriguingly, Wood made a notable observation regarding the role of both gold and Bitcoin as hedges against deflation. However, she noted that Bitcoin’s recent performance suggests that it has been outshining its traditional counterpart.
In summary, Wood’s sentiment reflects the evolving landscape of investments, with Bitcoin emerging as a powerful contender. Time will tell if more investors will follow suit as Bitcoin continues its recovery from 2022’s brutal bear market.