Despite an evolving landscape of regulatory uncertainty surrounding cryptocurrency, Ark Invest CEO Cathie Wood maintains her bullish prediction for Bitcoin, setting her sights on a lofty $1 million target.
Her confidence seems to grow amid global economic turbulence. She highlighted during a recent interview with Bloomberg that the "uncertainty and volatility" in global economies have only solidified her belief in Bitcoin, which she sees as a hedge against inflation and counterparty risk.
Discussing the legal struggles of Binance and Coinbase, Wood differentiated between the two, clarifying they are "not at all in the same bucket."
The SEC's lawsuits against both companies came in quick succession, but Wood underscored the stark contrast in their situations.
Whereas Binance is facing allegations of fraud and other criminal activities, Coinbase's key issues revolve around questions of security and staking, far less damning concerns in comparison.Moreover, Wood sees the regulatory hurdles Binance is encountering as an advantage for its competitor, Coinbase. As Binance wrestles with regulatory scrutiny, she believes that Coinbase's competition is effectively dwindling, which in the long run, could prove beneficial for the latter company. This, along with the transparency and the reduced counterparty risk Bitcoin offers in its blockchain system, feeds into Wood's sustained confidence in the cryptocurrency market.
Wood believes that Coinbase is "not accused" of the same level of infractions as Binance, despite SEC Chairman Gensler's attempt to lump them together. She maintains that while there are still questions regarding Coinbase's handling of security and staking, most issues that Binance faces do not apply.