Ark Invest's Cathie Wood Foresees Bitcoin Flourishing Amid AI-Driven Deflation - Crypto Economy

CryptoEconomy · 2026-02-12T22:39:05+00:00

Cathie Wood argues that Bitcoin is the best hedge against the "deflationary chaos" caused by AI, as its fixed supply protects it from inflation and institutional fragility. Investors should watch central banks' responses to this economic shift.

CryptoEconomy

2026-02-12 22:39:05

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During Bitcoin Investor Week in New York, Cathie Wood stated that the digital asset is the best hedge against the “deflationary chaos” sparked by artificial intelligence. Wood explained that technological acceleration and robotics will generate a productivity shock that will massively reduce costs—a scenario for which traditional financial systems are unprepared.

The impact of this vision lies in the fact that Bitcoin protects against inflation, but its fixed supply and decentralized architecture also isolate it from institutional fragility. Wood asserts that while the Federal Reserve ignores these data, the 75% annual drop in AI training costs will pressure debt-based growth models, favoring the transparency of the blockchain.

Moving forward, investors should monitor how central banks react to this shift in economic narrative from inflation toward productivity. The convergence between disruptive technologies will be decisive in validating whether Bitcoin can consolidate itself as a strategic asset against the volatility of traditional financial markets and the private equity sector.

**Source:**https://www.youtube.com/watch?v=viHdx8EOSg0

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