Bitcoin (BTC) firms’ shares are a major “buy” for asset manager ARK Invest in the midst of the FTX meltdown.
The latest data confirms that ARK continues to up its holdings of both exchange Coinbase (COIN) and the Grayscale Bitcoin Trust (GBTC).
Cathie Wood buys the dip
With FTX contagion still rippling through the crypto industry, ARK’s decision to add exposure to two firms caught in the firing line stands out.
According to numbers supplied by CEO Cathie Wood’s dedicated tracking resource, Cathie’s Ark, the firm added 176,945 GBTC shares on Nov. 21.
These join a larger tranche of 273,327 shares from Nov. 15, that purchase was completed just a week after FTX fell apart.
Since then, GBTC has come under the spotlight as parent company Digital Currency Group (DCG) battles FTX problems of its own.
Coinbase is, meanwhile, another target for ARK. Since the start of November, the firm has added 1.3 million COIN shares, taking its total stake to 8.374 million — near all-time highs.
COIN shares now account for ARK’s 12th-largest position.
Commenting on the FTX debacle in its latest newsletter, ARK acknowledged the potential implications for DCG company Genesis Trading and warned that other “counterparty” entities may be next.
“That said, our conviction in decentralized and transparent public blockchains is as strong as ever,” it nonetheless added:
“In this case and others, decentralization and transparency are paramount as antidotes to the gross mismanagement associated with centralized intermediaries, not to mention fraudulent centralized intermediaries.”
BTC price hits new two-year lows
Bitcoin price action, meanwhile, continues to decline, two weeks after problems at FTX spiraled out of control.
The pair dipped to $15,479 on Bitstamp after the Wall Street open, recovering only slightly to circle $15,750 at the time of writing.
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