ARK Investment Management invested in bitcoin on June 22, when the value of the cryptocurrency dropped to $ 28.8 thousand.The investment company bought more than 1 million shares of the Grayscale Bitcoin Trust. They were included in the Next Generation Internet ETF, which is managed by ARK Invest, RBC Crypto reports.
On June 22, the bitcoin rate for the first time since January fell below $ 30 thousand. The market capitalization of the coin, according to CoinGecko, fell to $ 554 billion. Bitcoin began to decline sharply in price amid negative news from China.
On June 21, the People’s Bank of China (PBOC) ordered local financial institutions, including major banks and the Alipay payment system, not to participate in cryptocurrency transactions. Also, local miners leave the country after the ban on their activities. On June 23, the cryptocurrency began to recover and at the time of writing, its price is $ 34.1 thousand per coin.
The Grayscale Bitcoin Trust functions similarly to ETFs in that it is secured and priced at bitcoin. It is not registered with the US Securities and Exchange Commission (SEC), so only accredited investors have access to it.
ARK Investment Management is an investment company founded by Katie Wood in 2014. ARK Invest manages exchange-traded funds, which include shares of breakthrough and innovative companies.