30s Summary
Cathie Wood of ARK Investment Management expects Donald Trump’s election to lead to more mergers and acquisitions (M&A) due to potential regulatory rollbacks, fostering a more business-friendly environment for startups. She also predicts Bitcoin will hit $1 million by 2030 due to limited supply and rising institutional interest. Comparing Bitcoin to gold, Wood believes that the cryptocurrency is even scarcer, suggesting significant growth potential in its market, currently valued at $2 trillion compared to gold’s $15 trillion.
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Cathie Wood, who runs ARK Investment Management, thinks that Donald Trump’s election will lead to more mergers and acquisitions (M&A). She also thinks this will encourage innovative strategies. During an interview with Bloomberg, she mentioned that changes in the Federal Trade Commission (FTC) could remove some rules that previously hindered M&A deals.
Besides M&A predictions, Wood is also super bullish on Bitcoin (BTC). She thinks the cryptocurrency will smash the $1 million mark by 2030. She attributes this optimistic thinking to Bitcoin’s limited availability and its scarcity compared to gold.
With Trump expected back in the White House, Wood anticipates two significant outcomes. First, she sees an increase in M&A among tech startups. Second, she expects potential price rises driven by less regulatory friction.
Wood also believes Trump’s election win will prompt a lot of startup M&As. This is because she anticipates a decrease in regulations that have previously prevented private company buyouts. “The FTC has stopped M&A from happening. That’s going to change,” she remarked during her Bloomberg TV interview. Regulatory rollback is critical, she added.
She thinks that under Trump’s leadership, there will be a more business-friendly environment. This situation will benefit startups looking for acquisition opportunities. She expects a renewed surge of buyers in the market without previous regulatory limitations. This will allow more transparency and freedom when setting prices for new companies.
As for Bitcoin, Wood holds on to her highly positive outlook for the cryptocurrency, predicting it will exceed $1 million by 2030. This year, Bitcoin surged beyond $108,000. Her prediction stems from the increasing interest from institutions and the finite supply of Bitcoin, making it “even scarcer than gold.”
Comparing Bitcoin with gold, Wood said that when the price of gold rises, so does its production. This increase results in more gold supply – something that “cannot happen with Bitcoin.”
In early December, Wood congratulated the U.S crypto industry after Trump nominated crypto supporter Paul Atkins to replace the Securities and Exchange Commission (SEC) Chair Gary Gensler. She stated that Fed Chair Jerome Powell once described Bitcoin as a digital version of gold, a view that aligns with her belief that the crypto market still has massive potential for growth.
Wood compared Bitcoin’s $2 trillion market to gold’s $15 trillion market on December 5th, indicating big possibilities for cryptocurrency to grow. So, there you have it folks, according to Cathie Wood, the future looks bright for Bitcoin and M&As!