Cathie Wood Loads Up On Bitcoin-Linked Stock Even As Shares Tank Over 86% This Year

Cathie Wood-led ARK Investment Management has bought 23,509 shares of cryptocurrency trading platform Coinbase Global Inc COIN at an estimated valuation of over $800,000. 

The purchase, which was done via the ARK Fintech Innovation ETF ARKF, comes at a time when the stock is hitting new all-time lows since the company went public last year.

Also Read: Best Cryptos On Coinbase

Coinbase stock has lost more than 86% of its value since the beginning of this year. Despite the fall, the company has remained upbeat about its prospects. “Lots of fear out there in the markets. It's important people remember how different Coinbase is in moments like this,” said co-founder and CEO, Brian Armstrong, in a tweet on Dec. 14. He cited three factors about Coinbase: It’s based in the U.S., customer assets are backed 1:1 and a $5 billion balance sheet.

Interestingly, crypto prices have stabilized over the last week. Bitcoin BTC/USD has recorded 0.31% returns in the last five days while Ethereum ETH/USD has gained 2.9%.

Coinbase started removing job offers for new candidates in June and put a hiring freeze in place. Then, in July, as the crypto bear market continued to dominate the sector, Coinbase let go of 1,100 people, or 18% of its workforce.

Coinbase is the fourth largest holding of the ARKF with a weight of 6.11%.

Other Buy: ARKF also bought 154,095 shares of Roblox Corp RBLX at an estimated valuation of over $4 million.

Read Next: Alibaba, Nio Down Nearly 1%: Hang Seng Mirrors Wall Street Weakness Amid Red-Hot Japan Inflation