Cathie Wood, founder of investment manager ARK Invest, said bitcoin (BTC) can serve as a hedge against deflation in addition to its potential in an inflationary environment.
Appearing last week on Merryn Somerset Webb’s podcast for Bloomberg, Wood claimed there is no counterparty risk in bitcoin thanks to its decentralization and visibility of all transactions on the network. She contrasted this to the opaque inner workings of the banking system.
“You can only surmise because they’re losing deposits and they have to fund those by selling securities,” Wood said. “The deposit flight has not stopped and they’re forced to raise interest rates to compete against money market funds.”
Wood reminded of the regional bank crisis in the U.S. in March when a