YEREVAN (CoinChapter.com) — Cathie Wood, founder of ARK Investment Management LLC, projects a surge in startup mergers and acquisitions (M&A) if Donald Trump secures another presidential term. She pointed to changes in regulatory policies as the driving force.
Speaking on Bloomberg, Wood stated that the Federal Trade Commission (FTC) had previously imposed barriers that slowed M&A activity. She highlighted that a rollback of these restrictions under the Trump administration could open doors for more buyouts.
“M&A has been prevented by the FTC. That is going to change,”
she said.
ARK Invest and Dealmaker Join Forces. Source: BloombergWood believes deregulation would create a transparent market, helping venture-backed startups find buyers without unnecessary constraints. This shift could result in more “liquidity events” for emerging companies, providing growth opportunities across industries.
Cathie Wood Reaffirms Bitcoin Price Could Exceed $1 Million
Wood maintained her forecast that Bitcoin could surpass $1 million by 2030, emphasizing its fixed supply as a core factor. She explained that Bitcoin’s scarcity is unmatched compared to gold.
In her view, when gold prices rise, production increases, adding to supply. However, Bitcoin’s capped supply of 21 million coins ensures no such expansion, making it increasingly scarce over time. Wood highlighted Bitcoin’s recent climb above $108,000 as a sign of strong institutional interest.
She also noted that developments like exchange-traded funds (ETFs) have bolstered Bitcoin’s position in global markets. Wood described Bitcoin as a unique asset that stands out in its ability to store value.
Regulatory Shifts Under Trump to Benefit Crypto Industry
Wood discussed the potential impact of Trump’s nomination of pro-crypto Paul Atkins as the next SEC Chair, replacing Gary Gensler. On Dec. 5, Wood expressed optimism on social media, stating this move could positively influence the crypto industry.
Cathie Wood Predicts Bitcoin’s Surge. Source: XShe referenced Federal Reserve Chair Jerome Powell’s comparison of Bitcoin to a “digital version of gold,” aligning with the view that Bitcoin has room for substantial growth. Wood also pointed to the disparity between gold’s $15 trillion market and Bitcoin’s $2 trillion market, highlighting the cryptocurrency’s untapped potential.
Startup and Crypto Markets Poised for Growth Under Trump
Wood indicated that deregulation under Trump’s leadership could stimulate both the tech startup and cryptocurrency markets. She emphasized that removing regulatory friction would create a favorable environment for venture-backed startups seeking acquisitions.
These policies, according to Wood, could also support Bitcoin’s trajectory by fostering an environment of increased market participation. By removing regulatory hurdles, the Trump administration could provide a boost to industries reliant on transparent and open market conditions.