Katy Wood explains the advantages of Bitcoin over gold - ForkLog: cryptocurrencies, AI, singularity, the future

# Katie Wood Explains the Advantages of Bitcoin Over Gold

Jefferies investment bank strategist Christopher Wood has completely excluded Bitcoin from his portfolio.

Mathematically limited issuance makes the first cryptocurrency a more perfect scarce asset than gold. This opinion was shared by Ark Invest founder and CEO Katie Wood.

Years of pressure have not broken the US economy, but have wound it tight. In a New Year’s letter, @CathieDWood shares her coiled spring theory and 2026 outlook, including insights on inflation, productivity, AI, bitcoin, gold, the dollar, and valuations.https://t.co/B7PFLGpqFG

— ARK Invest (@ARKInvest) January 15, 2026

The expert considers Bitcoin as a new class of scarce asset in a portfolio, whose value is determined not by fear of inflation, but by the fundamental mismatch between growing global capital and limited supply.

She analyzed the divergence in the dynamics of two assets: in 2025, the precious metal appreciated by 65%, while Bitcoin fell by 6%.

However, since October 2022, the cryptocurrency has increased by 360%, and gold by 166%. Wood linked this to “global wealth creation,” which outpaces the modest annual growth of the precious metal’s supply by approximately 1.8%.

“Additional demand for gold may exceed its emission growth. Gold miners, increasing production of the metal, can do what cannot be done with Bitcoin,” noted Wood.

Key Difference and Decorrelation

The supply of the first cryptocurrency is mathematically programmed to grow by about 0.82% over the next two years, after which the rate will slow to 0.41%.

An “inelastic” chart means that any surge in demand — for example, from spot ETFs — will have a stronger impact on the asset’s price.

“If demand for Bitcoin continues to grow, the leading crypto asset will gain more advantages than gold, thanks to its nature,” believes Wood.

She also emphasized that the recent gold rally reached historically extreme levels. Its market capitalization to M2 money supply ratio has returned to levels seen in the early 1930s and 1980s, which in the past signaled high stock market returns after corrections.

Source: Ark Invest. As the main advantage of Bitcoin, Ark Invest founder highlighted its diversification potential. The correlation between cryptocurrency and precious metals turned out to be lower than between stocks (S&P 500) and bonds.

In mid-January, for the first time since mid-2022, the 52-week ratio of Bitcoin to gold dropped to zero.

This allows the asset to be viewed as an effective tool for increasing returns per unit of risk in investment portfolios in the coming years.

Quantum Threat

Jefferies investment bank strategist and author of the popular “Greed & Fear” concept, Christopher Wood, has completely excluded Bitcoin from his flagship portfolio, reports Bloomberg. He replaced the first cryptocurrency with physical gold and shares of gold mining companies.

The reason is growing concerns that progress in quantum computing could threaten the long-term security of the coin.

Wood added that worries about these risks are increasing among many long-term investors. According to him, some capital managers question the thesis of Bitcoin’s value as a safe haven asset if the timelines for quantum computers’ emergence are shortened.

Recall that in December, Castle Island Ventures partner Nick Carter criticized developers for ignoring the threat of quantum computing. In his opinion, the reluctance to acknowledge the risks is already weighing on the price of the first cryptocurrency.

Meanwhile, Bitcoin’s co-founder and cypherpunk Adam Back believes that systems capable of breaking Bitcoin’s cryptography will not appear earlier than 20-40 years from now.