Cathie Wood’s ARK Invest Takes $1.4 Million As It Rise From Record Lows

  • ARK Invest has purchased 176,945 shares of Grayscale’s Bitcoin Trust (GBTC). Cathie Wood has purchased 176,945 shares of Grayscale’s Bitcoin Trust (GBTC).
  • GBTC is trading at a discount of around 50% amid FTX contagion.
  • On November 21, bitcoin hit a two-year low.

In the midst of the FTX debacle, asset management firm ARK Invest is placing an important bid for shares in Bitcoin (BTC) companies. the most recent Numbers It showed that ARK has increased its ownership of both Coinbase (COIN) and Grayscale Bitcoin Trust (GBTC).

Cathy Wood’s investment firm, Ark Invest, has increased its holdings in Grayscale’s GBTC fund by 176,945 shares, bringing its total stake in the fund to about $1.4 million.

As of this time, Ark owns about 6.357 million shares of GBTC, which is about 0.4% of the company’s total portfolio.

GBTC is a financial instrument that facilitates Bitcoin trading for investors without requiring them to actually own Bitcoin. Coinbase holds the GBTC base bitcoin. Up from a recent record low of 45.2%, Grayscale’s GBTC discount has been rising steadily. Due to the lack of confidence in the cryptocurrency market over the past two weeks, Bitcoin confidence has occasionally reached new lows.

FTX Infection has Cathy Wood buy the plunge

With the FTX epidemic still raging in the cryptocurrency market, ARK’s move to increase its exposure to two companies in the crosshairs stands out.

Cathie’s Ark, created by the company’s CEO, reported that on November 21st, the company purchased an additional 176,945 shares of GBTC. These are in addition to the 273,327 shares bought on November 15 — a week after the FTX crash.

Since then, GBTC has been in the spotlight as its parent company, Digital Currency Group (DCG), battles its FTX woes.

Meanwhile, another target of ARK is cryptocurrency exchange Coinbase. The company has increased its holding in COIN by 1.3 million shares since the beginning of November. This brings its total share to 8.374 million, which is close to an all-time high.

In the latest email newsletter, ARK talked about the FTX incident and said that more corresponding companies may be next. She also said that the incident could affect DCG’s Genesis Trading company.

With GBTC controlling more than 3% of BTC in the world, its liquidation would be devastating to the value of Bitcoin and the cryptocurrency industry as a whole. The GBTC Trust is one of the most closely watched funds in the cryptocurrency industry. It is the best way for institutional investors to gain exposure to bitcoin without having to buy or hold any bitcoin themselves.

Source link

Related Posts