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Ark Invest CEO, Cathie Wood Berates Crypto Critics

Cryptocurrencies have gained significant endorsement from high-profile personalities in different sectors in the last few years. Cathie Wood, CEO of Ark Invest, a global investment firm, is no exception. In a recent interview with Yahoo Finance, Cathie Wood took a swipe at crypto critics, calling them ignorant. Hedge fund manager John Paulson falls into this category in light of his recent comments against cryptocurrencies.

In a separate interview with Bloomberg, when asked what he thought about cryptocurrencies, John Paulson left no holds barred in his description. The fund manager began by describing crypto assets as lacking viability.

Reiterating the exact words of other critics, Paulson noted that the crypto market is a bubble with a limited supply of nothing. Paulson added that he wouldn’t recommend crypto investments to anyone owing to extreme volatility. In addition to this, Paulson likened the crypto market to a get-rich-quick scheme.

Cathie Wood Strongly Condemns Critical Comments, Calls them Ignorant

However, Cathie Wood, a strong crypto proponent has in stronger terms, berated Paulson and other critics for their comments, citing their ignorance. Contrary to the claims of the crypto market being a bubble, Wood asserted that this is not true as in the next decade, Bitcoin and altcoins will outlive the critiques of skeptics who have been speaking from a standpoint of ignorance.

Besides, the continuous growth of the industry is a testament to its strong resolve. Bitcoin has come a long way since its year of creation, outgrowing the devastating comments made by skeptics, some of whom have turned to the top crypto asset as an apt solution to inflationary issues in view of its limited supply.

Cathie Wood noted that the crypto industry has witnessed more innovations in recent times, thanks to big players like Coinbase and the adoption from mainstream firms like Robinhood, a stock trading platform that recently expanded its frontiers to accommodate crypto trading.

‘Investors Criticizing Crypto Rely on Outdated Investment Indices,’ Says Ark Invest CEO

In her defense for digital currencies, Wood argued that comments from the likes of Paulson are a pointer to the inordinate risk-averse mentality of investors who excessively depend on statistics issued by mainstream investment giants, having survived a slew of notable bubbles in the past including the dotcom bubble and housing crisis of 2006, which left many investors counting losses running into billions.

Still reeling from the effects of these bubbles both on the economy and individuals, they predict the same fate for Bitcoin. Despite the massive decline in 2018 almost confirming the gloomy predictions, Bitcoin has risen like a Phoenix to remain relevant, pioneering significant innovations in the space.

The Ark Invest CEO continued her argument admitting that the indices relied upon by these investors have failed to cover blockchain and crypto, and other emerging markets. Unfortunately, their investment decisions are informed by these outdated indices. ‘We’re in a period of explosive innovation,’ she concluded.

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