Bitcoin is the future despite billionaire haters: Ark Invest’s Cathie Wood

In not so many phrases, uber well-liked cash supervisor Cathie Wood informed Yahoo Finance Live billionaire and cash supervisor John Paulson ought to put just a few books about bitcoin (BTC-USD) on his fall studying checklist as a result of the main cryptocurrency is right here to remain. 

“John Paulson made an unimaginable name throughout the mortgage disaster. He has been a gold bug, I’d say, for many of his profession. And many buyers who’ve spent their careers targeted on gold can not perceive the digital idea related to gold,” mentioned Wood, the intently watched founding father of Ark Invest and crypto bull. 

Paulson didn’t return an e-mail from Yahoo Finance searching for remark. 

Wood has been a long-time proponent of crypto. She has publicity to the ups and downs of crypto by means of the efficiency of levered shares comparable to Coinbase (COIN) and Square (SQ) in her varied innovation targeted ETFs.

Suffice to say Paulson has a wildly totally different take, just like many different well-known old-timers in the monetary providers trade. The Paulson & Co. founder — who shot to fame throughout the monetary disaster for raking in billions for his hedge fund by betting towards subprime mortgages — recently told Bloomberg crypto will “ultimately show to be nugatory.”

“I wouldn’t advocate anybody put money into cryptocurrencies,” mentioned Paulson, who turned his hedge fund right into a household workplace in 2020 amid a gradual drumbeat of outflows, in the interview. 

Wood mentioned Paulson and others like him — aka crypto detractors —are lacking a number of necessary factors on the matter.

“What we predict he is lacking is that bitcoin is way more than only a retailer of worth or digital gold. Bitcoin specifically is a brand new international financial system. It’s a rules-based financial coverage, which is fully de-centralized and due to this fact is not topic to the whims of policymakers. In reality, it is a hedge towards the whims of policymakers, particularly in rising markets,” Wood defined. 

Wood is hopeful that Paulson will convert identical to different massive names in finance.

She added, “I do not understand how intently John Paulson and a few of the different naysayers have checked out it [bitcoin], however I feel there have been conversions. Ray Dalio has been a conversion, additionally Stanley Druckenmiller. These are very considerate buyers who at one level thought bitcoin was a ponzi scheme.”

Brian Sozzi is an editor-at-large and anchor at Yahoo Finance. Follow Sozzi on Twitter @BrianSozzi and on LinkedIn.

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