Jefferies Strategist Cuts Bitcoin Holding to Zero on Quantum Risk

Edgen Crypto

·Jan 16 2026, 12:59

Share to

Share to

Copy link

Key Takeaways

Christopher Wood, a Greed & Fear strategist at Jefferies, has eliminated a 10% Bitcoin (BTC) allocation from a key portfolio, citing concerns over the long-term security threat posed by quantum computing. This move signals a potential shift in institutional sentiment, favoring traditional safe-haven assets like gold over digital currencies for long-term holds.

A Jefferies strategist has cut a 10% Bitcoin allocation to zero from his portfolio.
The primary driver for the exit was the perceived risk from quantum computing to Bitcoin's network security.
The capital was immediately reallocated into gold, reinforcing its status as a traditional safe-haven asset.

Jefferies Strategist Removes 10% Bitcoin Stake

On January 16, 2026, Jefferies' Greed & Fear strategist Christopher Wood completely removed a 10% allocation to Bitcoin from his portfolio. The decision represents a notable reversal, as the allocation was a significant endorsement of the digital asset. The funds previously invested in Bitcoin were directly reallocated into gold, signaling a pivot back to traditional hard assets for long-term value preservation.

Quantum Risk Fuels Shift to Gold

The strategic shift was explicitly driven by concerns about the long-term viability of Bitcoin's cryptographic security in the face of advancing quantum computing. This move by a prominent institutional analyst could amplify existing anxieties among investors regarding the fundamental security of proof-of-work blockchains. By rotating directly into gold, Wood's action underscores a view that the precious metal remains a more durable safe-haven asset, free from the specific technological vulnerabilities that could affect the digital asset class.