- Ark Invest’s strategic moves indicate a concerted effort to gain scale in the competitive Bitcoin ETF landscape.
- Bitcoin’s hash rate reaching 500 exahashes/s showcases its computational superiority over traditional supercomputers.
Cathie Wood’s Ark Invest is doubling down on its commitment to cryptocurrency, acquiring an additional $15 million worth of its ARK 21Shares spot Bitcoin exchange-traded fund (ETF). The move comes as part of a strategic effort to scale up its exposure to Bitcoin through its ETF offerings.
Ark Invest’s Ongoing Investment in ARK 21Shares Bitcoin ETF
In its latest move, Ark Invest’s ARK Next Generation Internet ETF (ARKW) purchased 365,695 shares of ARK 21Shares Bitcoin ETF (ARKB) on January 18, representing a significant investment of $15 million.
This comes shortly after a previous purchase of 365,427 shares on January 16, constituting 1% of ARKW’s holdings. The consecutive purchases highlight Ark Invest’s continued interest in bolstering its Bitcoin ETF.
Cathie Wood and Ark Invest's trade activity from today 1/18 pic.twitter.com/zFT4XXbstM
— Ark Invest Daily (@ArkkDaily) January 19, 2024
Strategic Allocation for Scale in the Bitcoin ETF Space
Bloomberg Intelligence suggests that Ark Invest’s strategy of channelling its funds into ARKB is a calculated move to quickly gain scale in the competitive Bitcoin ETF landscape. With the recent approval of Bitcoin ETFs by the Securities and Exchange Commission (SEC), the race to accumulate assets is crucial.
The scale of a Bitcoin ETF is a significant factor for financial advisers and platforms, many of which impose minimum-asset thresholds.
Cathie Wood and Ark Invest's trade activity from today 1/16 pic.twitter.com/RiBGT3BV8T
— Ark Invest Daily (@ArkkDaily) January 17, 2024
Cathie Wood and the Bitcoin Network’s Impressive Milestone
Cathie Wood, the renowned founder of Ark Invest, highlighted the robustness of the Bitcoin network, emphasizing its scale and computational power. Yassine Elmandjra, Ark Invest Director of Digital Assets, shared that Bitcoin’s hash rate reached an all-time high of 500 exahashes/s.
Elmandjra drew intriguing comparisons, noting that the Bitcoin network performs 5 billion computations per second for every star in our galaxy. Wood echoed this sentiment, underscoring that Bitcoin is backed by a computer network larger than the combined clouds of tech giants Amazon, Google, and Microsoft.
Bitcoin’s Network Dominance Over Tech Giants
In a social media post, Elmandjra pointed out that the Bitcoin network’s performance surpasses even the world’s most powerful supercomputer by a factor of 500x in raw operations per second. Wood affirmed this, asserting that Bitcoin’s backing extends beyond traditional assets. The Ark Invest team’s commitment to Bitcoin reflects their confidence in its technological prowess and long-term potential.
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