Ark Invest's Cathie Wood defends bitcoin as an inflation hedge in crypto panel with Elon Musk

• Cathie Wood defended $4 role as an inflation hedge during a panel with Jack Dorsey and Elon Musk.
• The Ark Invest founder and CEO said bitcoin will serve as an inflation hedge in emerging market countries.
• She said citizens in emerging markets with "significant inflation" will migrate to bitcoin and other means to preserve their purchasing power.

Ark Invest founder and CEO Cathie Wood defended $4 role as an $4 during a Wednesday panel discussion alongside Jack Dorsey and Elon Musk.

The fund manager said bitcoin will serve as a hedge against inflation in certain situations, citing emerging markets as an example.

"There are a lot of emerging markets that are suffering from significant inflation-in other words, the purchasing power of those populations is going down. So they are going to migrate to bitcoin and other ways to preserve purchasing power," Wood said.

She made the remarks when asked what advice she would give for institutions looking to put bitcoin on their balance sheets. Wood added that being able to sell to people who have migrated to bitcoin in inflationary situations would be "very useful" for corporations.

Earlier in the panel, Wood discussed how bitcoin's fixed supply of 21 million tokens helps it's role in preserving purchasing power.