Cathie Wood Bets Big on Coinbase, Warns of Memecoin Collapse

Cathie Wood has shown renewed confidence in Coinbase, purchasing over $13 million worth of shares through Ark Invest on April 4th, despite the recent stock market downturn linked to tariffs.

This move has made Coinbase the second-largest holding across Ark’s ETFs. Currently, Coinbase shares are priced around $161, down 54% from their December 2024 high. Wood’s decision to increase her stake reflects her long-term belief in the company’s potential, even as the crypto market faces challenges.

Wood remains optimistic about Bitcoin, predicting it will soon outperform gold. She noted that while gold has recently shown strength, Bitcoin’s long-term upward trend against gold remains intact.

According to her, despite the setbacks seen this year, the digital asset still holds a strong position compared to the precious metal. Wood believes that Bitcoin’s fundamental advantages, including its scarcity and growing adoption, will ultimately drive its value higher relative to gold.

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However, Wood is less optimistic about memecoins, predicting that most will ultimately become worthless. In a recent Bloomberg interview, she argued that significant losses could prompt investors to realize the lack of value in these assets.

She emphasized that while the SEC and regulators may not intervene in time, the collapse of many memecoins will teach a harsh financial lesson. In contrast, she believes Bitcoin, Ethereum, and Solana will continue to gain importance due to their growing use cases, reinforcing their standing as essential assets in the evolving digital economy.

Wood’s stance highlights a clear distinction between speculative meme assets and more established cryptocurrencies. While she acknowledges that some speculative bubbles are inevitable, her focus remains on digital assets with real-world applications and long-term value, positioning Bitcoin and its peers as integral to the future financial landscape.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.