Everyone seems to be impressed by Bitcoin (BTC) and is acknowledging its worth. The most recent to do so is the Chief Executive Officer (CEO) of the Ark Investment Management, Catherine Wood, who has called it a bigger idea than the other two famous companies in the world, Apple and Amazon.
Ark Invest’s Founder, CEO, and CIO, Catherine Wood, recently appeared in an interview with Yahoo Finance at the beginning of this week and shared her point of view regarding the world’s largest digital currency. She said in her comments that the leading digital currency is a much bigger idea than Amazon and Apple.
She said that the move of a large number of institutional investors into the primary cryptocurrency did not shock Ark Investment Management. She claimed that they have already been expecting the flow of financial institutions into the world of digital currencies, especially in the flagship cryptocurrency Bitcoin, as it is the most secured blockchain network out of others.
Bitcoin Has Lower Correlation As Compared To Other Asset Classes
Furthermore, she talked about the correlation of the coin and said that as compared to other asset classes, Bitcoin’s correlation’s performance is better. She claimed that the primary cryptocurrency has a lower correlation than others. Lower correlation means that when you purchase some amount of BTC, you would further diversify your investment portfolio, which will increase the chances of high returns.
This is what financial institutions look at when they invest in any asset, and the top-ranked digital currency has got lower correlation. That is absolutely clear; she said that is why institutions have stepped into the dominant cryptocurrency.
However, she said that the actions of two famous companies, the insurance company MassMutual and the business intelligence firm MicroStrategy surprised her. While talking particularly about the actions of MicroStrategy, Wood said that their move to put all of their cash into BTC was surprising for them. She clearly called it a crazy act and said that the regulatory authorities will notice this act and will surely say something about this.