Quantum computing is going to be with us sooner than we thought, and its potential for cracking the code underlying the whole concept of bitcoin (BTCUSD) poses an existential threat, according to the concerns of one strategist. That means the cryptocurrency’s claim to be a secure and reliable store of value could be in jeopardy. This strategist, Chris Wood – a bullish advocate for bitcoin since 2020 – is sufficiently worried that he is eliminating his whole 10% recommended weighting in bitcoin from his recommended portfolio and reverting his allegiance back to gold (GC00). Wood is the global head of strategy at Jefferies.
Wood reallocated the 10% he removed from bitcoin and split it evenly between gold bullion and gold-mining stocks. A veteran Bitcoin bull at Jefferies, Chris Wood, has exited his position in BTC and removed its 10% weighting from his model portfolio. He argues that quantum computing could crack the cryptographic code underpinning bitcoin, threatening its status as a secure store of value. Wood has been bullish on bitcoin since 2020, and this move marks a significant shift in his strategic stance.
As Jefferies’ global head of strategy, his decision highlights mounting concerns about Bitcoin’s long-term resilience under advancing computational threat. The development underscores ongoing debates about crypto as a store of value in a future shaped by quantum advancements. If cryptographic defenses cannot keep pace, investors may reassess crypto allocations in favor of assets like gold, which have historically served as hedges during periods of technological or macro-led uncertainty.
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