Cathie wood's ark invest has reportedly purchased 6.93 million shares of the special acquisition company, or SPAC, which merges with circle, a total of $70.6 million through the ark fintech innovation exchange traded fund (etf). this purchase would represent a new position for the etf, according to marketwatch.
ark invest's etfs have a history of bold purchases within the tech industry as indicated by their move to buy $80 million in robinhood shares after the prices dipped back in october 2021. wood is also bullish on crypto despite passing on buying the first bitcoin futures etf that same month.
circle is the principal operator of usd coin (usdc), which is currently the second-largest stablecoin in terms of market capitalization. Circle announced its intention to release in July 2021 through a PSPC with concord acquisition corp as part of a merger that would cost the company $4.5 billion.
The merger was originally planned to end at the end of the fourth quarter of 2021, with the company listed on the NYSE with the symbol "CRCL."
The decision to make the information public was made in response to growing concerns from regulators about security. regardless, the move was applauded overall by the crypto industry. Vladimir vishnevskiy, co-founder of the Swiss law firm St. Gotthard fund management ag, recorded as such and reported; [usdc] has been around since 2014, and is another example of an established player being rewarded for their contribution to the ecosystem.
Stabilizers are still under regulatory scrutiny in the U.S., with legislators challenging market transparency and reserve support. u.s. lawmakers are currently looking to introduce new legislation on crypto within the coming weeks.