• Cathie Wood, CEO of ARK Invest, suggested that digital wallets and blockchain technology are game-changing innovations that the equity market largely ignored in 2022.
• She argued that digital wallets have overtaken cash as the top transaction method for offline commerce in 2020, and have accounted for 50% of global online commerce in 2021.
• Wood also suggested that the recent collapse of crypto exchange FTX shouldn’t affect the larger mission of public blockchains.
In a Jan. 12 blog post on the ARK Invest website, CEO Cathie Wood highlighted the disruptive innovation that digital wallets and blockchain technology offer, arguing that the equity market largely ignored these “game-changing innovations” in 2022. Wood noted that digital wallets have been replacing cash and credit cards, overtaking cash as the top transaction method for offline commerce in 2020, and accounting for approximately 50% of global online commerce in 2021. She argued that the market uncertainty calls for an opportunity to take advantage of disruptive innovation, which has historically “gained share during turbulent times.”
Wood also suggested that the recent collapse of crypto exchange FTX shouldn’t affect the mission of what public blockchains were intended for, noting that they offer an alternative solution to existing financial systems and have the potential to revolutionize the way transactions are conducted. She argued that with the right infrastructure in place, blockchain technology could have a major impact on the way businesses operate and the way financial services are provided.
In conclusion, Wood noted that the “wall of worry” has led to digital wallets and blockchain technology being largely ignored by the equity market in 2022. She argued that these technologies offer a major opportunity for growth, and suggested that with the right infrastructure in place, they could revolutionize the way transactions are conducted. As a result, Wood suggested that investors should take advantage of the current market uncertainty, and invest in disruptive innovation that has historically gained share during turbulent times.