On Tuesday, Robinhood Markets Inc. HOOD-5.84% was the subject of a multi-million dollar sale by Cathie Wood and ARK Investment Management, valued at approximately $9 million. The FTX story caused shares of the trading platform to end the day Tuesday nearly 19% down.
Cathie Wood Is Not Letting The Opportunity Pass Her By
To help get over a liquidity crisis at the competing exchange, cryptocurrency exchange Binance and FTX reached a non-binding arrangement on Tuesday to purchase the non-U.S. division of the former.
The announcement by Changpeng Zhao, the CEO and founder of Binance, that his trading platform would be selling off all of its FTT FTT/USD holdings earlier caused volatility in cryptocurrencies and companies with a connection to them.
Additionally, Cathie Wood’s funds purchased more than 420,000 shares of Coinbase Global Inc. COIN-5.45%, a cryptocurrency trading platform, at a price of more than $21 million. Three of the company’s ETFs were used to make the transaction.
The ARK Innovation of Cathie Wood ETF, the company’s flagship product, has Coinbase as its eleventh-largest investment. Cathie Wood’s firm was founded in 2012 on the revolutionary premise that anybody, everywhere should be capable of sending and receiving Bitcoin with ease and security. Today, it provides a reliable and user-friendly platform for gaining access to the larger crypto economy.
To meet the growing demand for cryptocurrencies as a payment method, Coinbase just introduced Primer to its payments network, which collaborates with vendors operating across multiple sectors through the UK, Europe, the US, and APAC.
With a strength of more than 3.94%, Cathie Wood’s ARKK Investors’ concerns regarding the FTX cryptocurrency exchange’s financial situation caused shares of Coinbase to settle nearly 10 percent. as a result lower on Tuesday and lost 1.22% in after-hours trading.
Later, Coinbase published a blog post to reassure investors, claiming that it didn’t have a liquidity issue and that it holds the majority of its assets in US dollars. We had $5 billion in liquid assets and cash equivalents at the end of the third quarter, according to the statement.
