Cathie Wood Reaffirms Stronger Belief in Bitcoin Over Ethereum
Cathie Wood, the founder and CEO of Ark Invest, has once again emphasized her stronger conviction in Bitcoin compared to Ethereum, underlining her view that the original cryptocurrency will maintain its position as the most important digital asset in the years ahead.
Wood has long described Bitcoin as a “rules-based global monetary system,” highlighting its capped supply of 21 million coins and its unmatched security record. She reiterated that Bitcoin’s scarcity and role as a decentralized monetary network make it fundamentally different from other cryptocurrencies. According to Wood, this foundation will ensure Bitcoin’s dominance as institutional adoption and global recognition continue to expand.
Bitcoin as a global monetary system
“Bitcoin is pure crypto,” Wood explained, noting its unique role as a transparent and incorruptible financial system that stands apart from traditional fiat currencies and other blockchain platforms. She stressed Bitcoin’s security and resilience, pointing out that it has never been hacked despite over a decade of operation. As the most secure Layer 1 blockchain, Wood argues Bitcoin is best positioned to serve as a store of value and a hedge against inflation.
Her view of Ethereum is more nuanced. While recognizing its role in driving innovation in decentralized finance (DeFi), smart contracts, and applications, she framed Ethereum as an infrastructure asset rather than a monetary one. She cautioned that Ethereum’s long-term dominance is not guaranteed, particularly as competition from Layer 2 scaling solutions and other blockchain ecosystems continues to grow.
Ethereum’s opportunities and risks
Despite these reservations, Wood has begun showing measured interest in Ethereum’s ecosystem. Ark Invest has gained indirect exposure to Ethereum by investing in infrastructure companies such as BitMine, which support ETH’s blockchain operations. This indicates that while Bitcoin remains her strongest conviction, Wood sees Ethereum’s technological advances as valuable within the broader digital asset economy.
Her stance comes at a time when industry experts diverge on which cryptocurrency will ultimately deliver greater value to investors. Tom Lee, co-founder of Fundstrat Global Advisors, has taken a more bullish view on Ethereum, predicting that it could outperform Bitcoin during certain market cycles due to its innovation-driven growth. This debate highlights the evolving perspectives among institutional investors as both Bitcoin and Ethereum mature.
For Wood, however, the thesis remains clear: Bitcoin’s scarcity and monetary function give it a unique advantage that no other digital asset can replicate. She continues to project ambitious long-term valuations for Bitcoin, with some forecasts suggesting the cryptocurrency could eventually trade above $3 million as institutional adoption and macroeconomic shifts accelerate.
As the digital asset market develops, Wood’s confidence in Bitcoin underscores her belief in its role as the foundation of the crypto economy. While Ethereum and other networks may compete for dominance in applications and smart contract infrastructure, Bitcoin, in her view, will remain the cornerstone of a decentralized financial future.