Cathie Wood, founder and CEO of ARK Investment Management, said she remains “very positive” on Coinbase in light of Ripple’s partial victory over the Securities and Exchange Commission on July 13.
While Wood noted that the ruling was not entirely in Ripple’s favour, he praised the outcome as “overall, very positive for Ripple.” [crypto] exchanges.”
Wood joins the ranks of crypto industry experts who have made similar points, arguing that the ruling, which found that XRP (XRP) tokens sold to retail investors on cryptocurrency exchanges were not securities, could set a positive precedent for Coinbase and Binance in their respective legal battles with the regulator.
Wood explained that even though the cryptocurrency exchange received a notice from Wells in March and was hit by an SEC lawsuit in June, the share price never fell to new lows, suggesting strength in the value of Coinbase shares.
On July 11, Wood’s flagship fund, the ARK Innovation exchange-traded fund (ETF), cashed in on the cryptocurrency exchange’s impressive rally, selling 135,152 Coinbase shares, worth $12 million. at that moment.
Coinbase stock price to date. Source: TradingView
Coinbase started trading in 2023 at just $33.60 per share. At press time, COIN shares have rallied more than 184% since then to reach a price of $105.55 according to data from TradingView.
Related: US ‘Dominates’ Crypto Firm Funding in Q2: Report
While many industry players are becoming increasingly bullish on Coinbase, analysts at investment firm Berenberg Capital Markets warned that many aspects of cryptocurrency exchange regulation are far from resolved.
In a July 17 investment note seen by Cointelegraph principal analyst Mark Palmer, he said that Coinbase Earn, a financial product that offers returns on cryptocurrency staking, appears “particularly vulnerable” to being defined as a security at light of the comments made by Judge Torres in his ruling in the Ripple case.
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This post Cathie Wood ‘Very Positive’ on Coinbase After Ripple Court Ruling
was published first on https://cointelegraph.com/news/cathie-wood-positive-coinbase-shares-ripple-sec-ruling
