The founder and CEO of ARK Invest, Cathie Wood, has predicted an influx of investments in cryptocurrencies and new technologies following a “changing of the guard” at the SEC and the FTC.
Deregulation (defanging the SEC, FTC, and others), government spending cuts (making room for the private sector), tax cuts, and a focus on technologically enabled innovation are likely to turbocharge the US economy more powerfully than during the Reagan Revolution. https://t.co/S2BBd0p0bR
— Cathie Wood (@CathieDWood) November 11, 2024
According to her, the actions of these regulators “threaten the movement of digital assets” and have already led to a brain drain from the United States.
“Deregulation, easing of the SEC, FTC, and others, reduction in government spending, tax cuts, and a focus on technologically justified innovations are likely to lead to a sharp rise in the US economy,” Wood stated.
She is optimistic about Donald Trump’s election as president:
“Bitcoin is an integral part of this administration’s plans, including the creation of a strategic reserve, and we are very excited about this.”
The head of ARK Invest also predicted “explosive productivity growth” among major innovative platforms in robotics, AI, energy storage, and blockchain. She cites Trump’s proposed policies of tax and interest rate cuts as additional economic growth stimuli.
Venture giant a16z expressed hope for government actions aimed at the prosperity of the cryptocurrency ecosystem in the US. The company awaits clear regulatory frameworks for innovation development in the industry.
“This will pave the way for a future where we can provide people with ownership of digital identification, low or zero fees for cross-border transactions using stablecoins, the emergence of decentralized social networks, the democratization of AI through blockchains, and much more,” the statement reads.
Musk Against the Fed
Meanwhile, staunch Trump supporter and billionaire Elon Musk retweeted a post by Utah Senator Mike Lee calling for the dissolution of the Fed, adding an emoji of full agreement.
— Elon Musk (@elonmusk) November 8, 2024
Lee was outraged by Federal Reserve Chairman Jerome Powell’s statement that he would not resign from his post even if asked by the new president. The senator saw this as a sign of an uncontrollable system.
“The executive branch should be under the leadership of the president. That is how the Constitution was designed. The Federal Reserve is one of many examples of how we have deviated from the Constitution in this regard. Another reason why we should end the Fed,” Lee wrote.
This position aligns with the ideas of Bitcoin maximalists, who argue that centrally managed fiat currencies are subject to monetary inflation and devaluation.
Earlier, CLO of Variant Fund Jake Chervinsky outlined the SEC’s priorities following Trump’s inauguration.