Cathie Wood says Binance’s troubles could benefit Coinbase as her Ark Invest funds snap up shares of US crypto exchange
- Binance and Coinbase have both been sued by the US Securities and Exchange Commission, but Coinbase has not been accused of criminal activity, Woods said
- Her comments come after three of her Ark Investment Management funds bought 419,324 shares of Coinbase, as prices slumped following the SEC action
“We have Binance under increasing regulatory scrutiny for more criminal activities, fraud being one of them, therefore we have the competition for Coinbase disappearing, so that’s a good thing longer term for Coinbase.” Wood told Bloomberg Television on Thursday.
She said Coinbase isn’t accused of any criminal activity. “There are questions about what’s a security, about staking, those are the two questions that Coinbase and Binance are facing, but most of the other questions about Binance have nothing to do with Coinbase.”
Her comments come after her funds on Tuesday boosted their holdings of Coinbase as shares slumped following the SEC’s action, with three Ark Investment Management LLC funds, including Wood’s flagship Ark Innovation ETF, buying 419,324 shares.
Ark is the fourth-largest holder of Coinbase and has been adding to its stake on dips for nearly a year.