- Block.One shares have been going up while COIN tanks.
- Cathie Wood is still bullish on Coinbase.
- Coinbase is now ARK Invest’s seventh-largest holding.
During these uncertain times for crypto, many investors would take a ‘watch-and-wait’ approach before buying up, but not ARK Invest CEO Cathie Wood.
Wood has not been perturbed by the actions of the SEC as the agency lays siege to crypto through lawsuits laid before Binance and Coinbase.
$40 Million in Crypto Stock
Wood’s Ark Invest recently bought another $19.9 million shares of Block Inc. right after buying $21 million in Coinbase stock. 305,573 new shares of Block came across six buys between June 7-8 – this makes Block.One ARK’s fourth largest holdings at 4.81%
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Of the new shares, 240,174 were added to its ARK Innovation (ARKK) ETF, 39,099 shares to ARK Next Generation Internet (ARKW), and the remaining 26,300 shares to ARK Fintech Innovation (ARKF).
Block.One’s shares have benefited from the SEC’s decision to go after Coinbase. At the same time, Coinbase’s shares have plummeted with the lawsuit, leading to rating agency Moody’s downgrading the crypto firm.
However, even in this time of plummeting share prices ARK Invest bought 419,324 shares — worth about $21.6 million — across three buys on June 6, which came in the midst of COIN dropping around 20% on June 5.
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Coinbase is now ARK Invest’s seventh largest holding at 4.39%, with 11,440 COIN shares across its ARKF, ARKK, and ARKW ETFs.
Coinbase to Win the War, Not the Battle
While Coinbase is under heavy pressure from the SEC, in the end, it may be positive for the U.S. exchange.
Wood explained in a Bloomberg interview:
“We have Binance under increasing regulatory scrutiny for more criminal activities, fraud being one of them, therefore we have the competition for Coinbase disappearing, so that’s a good thing longer term for Coinbase.”
More so, Coinbase CEO Brian Armstrong is welcoming his day in court to face off against the SEC, stating he is “proud to represent the industry in court to finally get some clarity around crypto rules.”
On the Flipside
- U.S. Securities and Exchange Commissioner (SEC) Chair Gary Gensler rebuffed questions on his full-blooded attack on the world’s two most popular crypto exchanges. He said: “When crypto asset market participants go on Twitter or TV and say they lacked ‘fair notice’ that their conduct could be illegal, don’t believe it.”
Why This Matters
The dividing action of the SEC is polarizing people into crypto supporters and crypto skeptics, so much so that Wood believes it could become an election-year issue.
Read more about the Coinbase share price dump:
Coinbase Shares Dump Following SEC Lawsuit Against Rival Binance
Read more about crypto adoption in the UK:
