Cathie Wood Offloads Over $9M In Robinhood — Piles Up $21M In This Crypto-Linked Stock Amid FTX-Fueled Plunge

Cathie Wood-led ARK Investment Management on Tuesday sold over a million shares of Robinhood Markets Inc HOOD at an estimated valuation of over $9 million. Shares of the brokerage platform closed over 19% lower on Tuesday over the FTX saga.

Cryptocurrency exchange Binance signed a non-binding agreement on Tuesday to buy FTX's non-U.S. unit to help tide over a liquidity crunch at the rival exchange. Volatility in crypto and crypto-related stocks had ensued earlier when Changpeng Zhao, the founder and CEO of Binance announced his trading platform is about to liquidate its entire FTT FTT/USD holdings.

Also Read: Investing For Beginners

Major Purchase: Wood’s funds also bought over 420,000 shares of cryptocurrency exchange platform Coinbase Global Inc COIN at an estimated valuation of over $21 million. The purchase was done via three of the company’s ETFs.

Coinbase is the 11th largest holding of ARK’s flagship fund – the ARK Innovation ETF ARKK with a weight of over 3.94%. Shares of Coinbase closed over 10% lower on Tuesday and shed 1.22% in extended trading after investors were worried about the financials of cryptocurrency exchange FTX.

Coinbase later wrote a blog to calm investors saying it does not have a liquidity problem and that it largely holds its assets in dollars. “We ended Q3 with $5.6 billion in total available $USD resources, including $5B in cash and cash equivalents,” it said.

Read Next: Larry Summers Says Trump Set Stage For Inflation: Republicans' Willingness To 'Send Country Into Default Is Chilling'

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: CryptocurrencyLong IdeasNewsBroad U.S. Equity ETFsShort IdeasTop StoriesMarketsTrading IdeasETFsARK Investment ManagementBinanceCathie WoodFTX
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!