• Cathie Wood’s ARK Invest has added $5 million worth of Coinbase (COIN) shares to its ARK Fintech Innovation Exchange-Traded Fund (ETF).
• Despite the exchange’s share price crashing by 86 percent this year, ARK Invest has significantly increased its COIN holdings.
• 2022 has been tough for the entire cryptoverse, with the bitcoin (BTC) price losing more than 70 percent of its gains.
This year has been a difficult one for the cryptoverse, as the entire market has been bearish. Bitcoin (BTC), the largest and most popular cryptocurrency, has lost more than 70 percent of its gains since reaching a new all-time high of nearly $70k in late 2021. Altcoins and other crypto-focused businesses have not been spared either, with a number of high-profile rug pulls, heists, and frauds making the season one of the worst in the history of Web3.
In the midst of this bear market, Cathie Wood’s ARK Invest has shown its commitment to the space by significantly increasing its holdings in Coinbase (COIN). The firm has added 158,000 shares worth $5 million to its ARK Fintech Innovation Exchange-Traded Fund (ETF), (ARKF), which now comprise 3.39 percent of their portfolio as of Dec. 13. This is a significant increase, despite the exchange’s share price crashing by 86 percent this year.
ARK Invest, a financial technology and investment management company that focuses on disruptive innovation and investment solutions with long-term growth potentials, appears to be accumulating COIN as the share price continues to be under immense bear pressure. Sources close to the matter have reported that ARK Invest has doubled down on COIN, a few weeks after purchasing $3.2 million worth of the stock.
Despite the bear market, Coinbase remains one of the heavily impacted crypto ramp. The exchange has already delisted several tokens, including bitcoin cash (BCH), XRP, and stellar (XLM), citing low trading activity. Nassim Taleb, a Lebanese-American economist and author, has also criticized the exchange for its lack of liquidity and high fees.
Nevertheless, ARK Invest appears to be bullish on Coinbase, and its recent purchase of $5 million worth of the stock will likely be seen as a strong signal of faith in the platform. With its focus on disruptive innovation and long-term growth potentials, ARK Invest may be betting on Coinbase to weather the storm and emerge from the current bear market stronger than ever.