Evolving Money: Diversifying with Digital Assets
Podcast: Bloomberg Tech (Sponsored by Coinbase)
Host: Angie Lau (with contributions from Omid Malikin and Cosmo Jiang)
Air Date: March 29, 2026
Episode Overview
This episode of Evolving Money, a collaboration between Coinbase and Bloomberg Media Studios, explores the evolving role of cryptocurrencies and digital assets in institutional investment. Host Angie Lau, together with guests Omid Malikin (Wall Street veteran, Columbia Business School adjunct) and Cosmo Jiang (General Partner at Pantera Capital), delves into how assets like Bitcoin are being considered by traditional financial players—not just as a form of "digital gold" but as part of a broader shift toward diversified, tech-enabled portfolios. The episode moves from foundational definitions and narratives around Bitcoin to practical considerations for portfolio managers, concluding with a discussion on AI, blockchain, and the future of investment diversification.
Key Discussion Points & Insights
1. Defining Bitcoin & Its Role in a Portfolio (00:23–10:35)
- Bitcoin’s Evolution:
- Bitcoin is compared to a growing child going through various phases (00:23).
"I think of bitcoin almost as like a child growing up... We're definitely in one of those transitional phases now." — Omid Malikin ([00:23])
- Bitcoin is compared to a growing child going through various phases (00:23).
- Currency, Commodity, or Digital Gold?
- Malikin resists the "digital gold" analogy, emphasizing Bitcoin's unique attributes as both a scarce asset and an efficient, borderless payment system (02:37–03:29).
"Bitcoin is a hard currency that comes with its own universal payment system... that's a very unique kind of asset." — Omid Malikin ([02:37])
- Malikin resists the "digital gold" analogy, emphasizing Bitcoin's unique attributes as both a scarce asset and an efficient, borderless payment system (02:37–03:29).
- "Digital Gold" Narrative Under Scrutiny:
- The narrative tied to Bitcoin’s scarcity is questioned as its price doesn’t always move in tandem with gold during macroeconomic shifts (03:29–05:52).
"I never loved the digital gold analogy because the plumbing aspects of bitcoin to me have always been just as important as the... finite supply argument." — Omid Malikin ([03:29])
- The narrative tied to Bitcoin’s scarcity is questioned as its price doesn’t always move in tandem with gold during macroeconomic shifts (03:29–05:52).
- Geopolitical & Sovereignty Angle:
- Bitcoin enables sovereign flexibility when traditional hard assets like gold cannot (e.g., during geopolitical crises such as Ukraine) (04:29–05:52).
"With the bitcoin and other crypto assets, all the people... would have to do is take a private key... That would now give them billions of dollars in purchasing power." — Omid Malikin ([05:04])
- Bitcoin enables sovereign flexibility when traditional hard assets like gold cannot (e.g., during geopolitical crises such as Ukraine) (04:29–05:52).
2. Bitcoin in the Context of Institutional Investment & De-Dollarization (06:11–10:35)
- Global Reserve Strategy:
- Countries are seeking to diversify reserves away from the US dollar. Bitcoin’s portability and accessibility make it an attractive future option (06:11–07:33).
"More and more countries will say, you know, this Bitcoin thing is very easy to acquire, very easy to transact..." — Omid Malikin ([07:05])
- Countries are seeking to diversify reserves away from the US dollar. Bitcoin’s portability and accessibility make it an attractive future option (06:11–07:33).
- Behavioral Profile & Portfolio Insurance:
- Bitcoin acts as "monetary insurance," sometimes decoupling from both stocks and gold (08:03–09:26).
"The correlations have completely broken down now... Bitcoin is not correlated with stocks right now. It's not correlated with gold..." — Omid Malikin ([09:07])
- Over long horizons, Bitcoin may prove to be valuable insurance against monetary policy risk and market upheaval (09:36–10:35).
- Bitcoin acts as "monetary insurance," sometimes decoupling from both stocks and gold (08:03–09:26).
3. Beyond Bitcoin: Diversification Strategies in Digital Assets (11:16–15:12)
- Expanding the Digital Asset Universe:
- Cosmo Jiang introduces the distinction between Bitcoin and the wider blockchain ecosystem (Ethereum, Solana, etc.), each offering unique return drivers (11:16).
"When I think about diversification, I think about it as not just about owning more things, it's about owning different drivers of return." — Cosmo Jiang ([11:16])
- Cosmo Jiang introduces the distinction between Bitcoin and the wider blockchain ecosystem (Ethereum, Solana, etc.), each offering unique return drivers (11:16).
- Investment Rigor in Protocols:
- Pantera Capital applies traditional equity analysis to blockchain protocols, using on-chain data to build financial models (13:20–14:54).
"We build out income statements, we build cash flow statements, we build out balance sheets to understand the... fundamental growth of this business." — Cosmo Jiang ([14:35])
- Pantera Capital applies traditional equity analysis to blockchain protocols, using on-chain data to build financial models (13:20–14:54).
- Adjacent Opportunities — AI x Blockchain:
- Jiang notes the innovative intersection of blockchain and AI, highlighting a new wave of entrepreneurs and products (12:45–13:20).
4. The Risk of Not Having Digital Asset Exposure (15:12–16:42)
- Digital Assets Entering Indices:
- With Coinbase’s addition to the S&P 500, virtually all institutional portfolios now have direct or indirect blockchain exposure.
"Every single professional investor now has blockchain exposure in their benchmark... you're now required to think about whether you are overweight, underweight or equal weight the asset class." — Cosmo Jiang ([15:26])
- With Coinbase’s addition to the S&P 500, virtually all institutional portfolios now have direct or indirect blockchain exposure.
- Benchmark Evolution as a Catalyst:
- Absence of crypto can become a liability as asset classes enter mainstream indices (15:21–16:36).
5. Long-Term Outlook and Entry Timing (16:42–17:48)
- Generational Wealth Shift:
- Younger generations prefer Bitcoin to gold, suggesting a long-term trend (16:42–17:48).
"Today a lot of 50 to 60 year olds... have a lot of gold. But if you look at the 23 year olds, they all own bitcoin, they don't own gold." — Cosmo Jiang ([17:19])
- Younger generations prefer Bitcoin to gold, suggesting a long-term trend (16:42–17:48).
- Market Multiples:
- Bitcoin’s market cap relative to gold suggests 10–20x potential; blockchain technology offers even more upside.
6. The AI–Blockchain Intersection & Future of Investment (18:50–19:45)
- Indexing Bias Towards AI:
- Today’s indices may over-index to AI at the expense of blockchain, though both are set to be foundations of future finance.
"It’s pretty clear... a lot of the equity indices over index to AI... but they probably under indexed the next most disruptive technology today, which is blockchain." — Cosmo Jiang ([18:54])
- Today’s indices may over-index to AI at the expense of blockchain, though both are set to be foundations of future finance.
- Convergence:
- Blockchain is poised to become a default component across equities, tokens, currencies, and within AI-driven enterprises.
Memorable Quotes & Moments
-
Bitcoin as Plumbing over Gold:
"The plumbing argument is in many ways far more interesting when it comes to monetary insurance than the hard asset argument." — Omid Malikin ([05:38])
-
On Sovereignty and Sanctions:
"You no longer have to take the risk of some other country’s politicians liking you [or] doing the right thing..." — Omid Malikin ([07:18])
-
Digital Asset Exposure & Portfolio Risk:
"It does become risky to not have access to this asset class now that it is actually in your benchmark and how you’re judged." — Cosmo Jiang ([16:18])
-
Generational Shift in Asset Preference:
"If you look at the 23-year-olds, they all own bitcoin, they don’t own gold." — Cosmo Jiang ([17:22])
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On AI vs. Blockchain Diversification:
"In the future, all of finance will be digital finance. All of finance will include blockchain assets." — Cosmo Jiang ([19:18])
Important Timestamps
- 00:23 — Omid Malikin's Bitcoin analogy: “Bitcoin is like a child growing up…”
- 02:37 — Defining Bitcoin’s unique value (currency + payment system)
- 03:29 — The limits of the "digital gold" narrative
- 05:04 — The Ukraine example: Bitcoin's advantage in a crisis
- 06:11 — De-dollarization and growing sovereign interest in Bitcoin
- 09:07 — “Correlations have completely broken down” with Bitcoin
- 11:16 — Cosmo Jiang: Diversification in digital assets
- 14:35 — Fundamental analysis of blockchain protocols
- 15:26 — Coinbase’s inclusion in the S&P 500 changes the portfolio calculus
- 17:22 — Generational asset allocation: Bitcoin vs. gold
- 18:54 — AI vs. blockchain in indices: Future investment paradigm
Tone & Style
The episode features a mix of approachable analogies (Bitcoin as a child), academic rigor (portfolio insurance and correlation analysis), and pragmatic investment advice (using fundamental equity analysis on protocols). Guests speak plainly yet insightfully, bridging the gap between legacy finance and cutting-edge technology.
Conclusion
This episode presents compelling arguments for including digital assets in diversified, forward-looking institutional portfolios. Omid Malikin and Cosmo Jiang provide distinct yet complementary perspectives—Malikin focuses on Bitcoin’s functional and sovereign benefits, while Jiang expands the conversation to blockchain protocols and the fast-evolving intersection of crypto with other major technology trends like AI. Both agree: the digital asset class is moving from optional to essential.