Wood declares ‘radical’ change in politics around Bitcoin, Saylor commands ‘not to sell your Bitcoin’

(Kitco News) In one of the most anticipated talks from the Bitcoin 2022 conference in Miami, ARK Invest CEO Cathie Wood and MicroStrategy CEO Michael Saylor discussed a “radical shift” in politics around Bitcoin, advising the crowd in attendance to keep “hodling” the world’s largest cryptocurrency.

One of the most interesting things that happened over the past year was “seeing the politics around Bitcoin changing radically,” Wood said on stage Thursday.

It is worth comparing what US Treasury Secretary Janet Yellen was saying about Bitcoin a year ago and what she is saying now.

“A year ago, when Yellen was appointed Treasury Secretary, her first comments about Bitcoin were ‘money laundering’ and ‘environmentally damaging’. Now, someone is whispering in her ear: ‘If you want the US to lose out on one of the most amazing innovation platforms of all times, you keep talking like that,'” Wood said. “She has changed her tune.”

Bitcoin is now a bipartisan issue that is bringing the country together, she added.

Saylor agreed, stating that the last 12 months saw a 180-degree turn. “People were saying someone will ban bitcoin, that it is too good to be true. With Biden’s executive order — the President is giving the green light to Bitcoin. When was the last time a president of the US directed the government to embrace a new asset class? The answer is never.”

According to both speakers, these political developments will strongly impact regulation, which is exactly what Bitcoin needs.

Saylor declared that he is “more bullish than ever” on Bitcoin and that the cryptocurrency’s regulatory future looks bright.

“A lot of people have anxiety about regulation. I don’t have anxiety about regulation. There is a lot of stuff to work through, but regardless of how fast that happens and how sharp that occurs, I don’t think there is any outcome other than favorable for Bitcoin,” Saylor explained.

Once there is clarity around regulation, people will start putting billions of dollars into this asset class, he added.

In terms of regulation, Wood noted that the Securities and Exchange Commission (SEC) declared that Bitcoin is not a security, which has lowered Bitcoin’s risk level.

Bitcoin is a very big idea — “the first global private digital rules-based monetary system in the history of the world,” Wood highlighted.

If at least 2.5% of global institutional assets are allocated to Bitcoin in eight years, the price per token will go to $1 million, Wood forecasted. “In the 70s, it was real estate; in the 80s, it was emerging markets; and now it will be crypto, starting with Bitcoin,” she said.

One significant risk to watch for is central bank digital currency (CBDC) and how it impacts regulation around Bitcoin, Wood warned.
“A few years ago in China, it was blockchain technology all the way, and then they banned everything in favor of their own CBDC. I don’t hear talk about it here. That is very good … The momentum is clearly behind Bitcoin now ,” she clarified.

Saylor concluded the presentation by urging the crowd “not [to] sell your bitcoin.” He added that inflation, the war in Ukraine, Russian sanctions, the Canadian trucker crisis, CPI, PPI, and anxiety about managing a portfolio have all been bullish for Bitcoin.

“[This has] underscored to every mainstream objective observer the use case for a global non-sovereign store of value like Bitcoin,” he said. “If you want to turn $250 million into $6 billion, buy Bitcoin, don’t buy gold. If I bought gold, I would have $250 million worth of gold instead of $6 billion worth of Bitcoin.”

The annual Miami conference, which attracted more than 35,000 people this year, has failed to lift Bitcoin prices this week, with the cryptocurrency down 7.5% in the last seven days and last trading at $43,525.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/or damages arising from the use of this publication.


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