Cathy Wood, founder and CEO of ARK Invest, predicted that after changes to the composition of the SEC and FTC, the U.S. would see an influx of investments into cryptocurrencies and innovative technologies.

Deregulation (defanging the SEC, FTC, and others), government spending cuts (making room for the private sector), tax cuts, and a focus on technologically enabled innovation are likely to turbocharge the US economy more powerfully than during the Reagan Revolution. https://t.co/S2BBd0p0bR
— Cathie Wood (@CathieDWood) November 11, 2024

Wood argues that the actions of these regulators are jeopardizing the development of digital assets and have already led to a brain drain of talented professionals from the country.

“Deregulation, loosening of the SEC, FTC, and other agencies, tax cuts, reduction in government spending, and a focus on innovations supported by technological advancements are likely to lead to significant growth in the U.S. economy,” Wood said.

She also expressed hope for the election of Donald Trump as president:

“Bitcoin is an integral part of this administration’s plans, including the creation of a strategic reserve, and we are very excited about it.”

Cathy Wood predicted “explosive growth” for key platforms in robotics, artificial intelligence, energy storage, and blockchain. She also highlighted Trump’s proposed policy of tax cuts and interest rate reductions as important incentives for economic growth.

The venture firm a16z expressed hope that the U.S. government would establish clear rules to support the cryptocurrency industry and innovative technologies.

“This will pave the way for a future where people can own digital identities, make transactions using stablecoins with no or minimal fees, and develop decentralized social networks and democratize artificial intelligence through blockchains,” the company stated.

Musk Against the Federal Reserve

Meanwhile, billionaire and Trump supporter Elon Musk retweeted a post by Senator Mike Lee from Utah, calling for the liquidation of the Federal Reserve, adding his emoji of full agreement.

💯 https://t.co/D6tYTAThNC
— Elon Musk (@elonmusk) November 8, 2024

Lee expressed dissatisfaction with the statement from Federal Reserve Chairman Jerome Powell, who said he would not leave his position even if required by the new president. The senator viewed this as a sign of unchecked power.

“The executive branch should be under the direction of the president. That’s the foundation of the Constitution. The Federal Reserve is one of the examples of how we’ve deviated from that foundation. This is yet another reason why we need to end the Federal Reserve,” Lee wrote.

These views align with many Bitcoin maximalists who argue that centrally managed fiat currencies are prone to inflation and devaluation.

Earlier, CLO of Variant Fund Jake Chervinsky described his expectations for the SEC following Trump’s inauguration.