Coinbase: A Core Holding in Ark Invest’s Crypto Accumulation Strategy
Amidst a broader market downturn, Cathie Wood's Ark Invest has executed a significant and aggressive expansion of its cryptocurrency portfolio. The investment firm, known for its disruptive technology focus, has notably increased its stakes in several key digital asset companies, with Coinbase emerging as a central pillar of this accumulation strategy. This recent buying spree, which occurred in December 2025, follows a similar investment in the crypto exchange giant just two weeks prior, signaling a strong conviction in the sector's long-term prospects despite short-term volatility. Beyond Coinbase, Ark Invest diversified its exposure by purchasing shares in BitMine and CoreWeave, while also making substantial new investments in Block Inc. ($5.94 million) and Bullish ($5.2 million). Furthermore, the firm bolstered its direct Bitcoin exposure by adding $1.24 million to its position in the Ark-21Shares Bitcoin ETF. This coordinated series of moves demonstrates a multi-faceted approach to gaining crypto market exposure, encompassing exchange platforms, mining, infrastructure, and financial services. For investors, Ark's actions provide a compelling case study in institutional capital deployment during periods of market weakness, highlighting Coinbase's perceived strategic value within the evolving digital asset ecosystem. The firm's continued confidence suggests a belief that current prices represent an attractive entry point for long-term growth assets tied to the future of finance.
Ark Invest Expands Crypto Holdings Amid Market Downturn
Ark Invest, led by Cathie Wood, has aggressively increased its exposure to cryptocurrency-related assets during the recent market pullback. The firm purchased shares in BitMine, Coinbase, and CoreWeave, alongside a $5.94 million stake in Block Inc. and $5.2 million in Bullish. It also added $1.24 million to its Ark-21Shares Bitcoin ETF position.
This buying spree follows a similar investment in Coinbase two weeks prior, demonstrating Wood's conviction despite COIN trading 40% below its $420 all-time high. Technical analysts note Coinbase's stock has been consolidating between key moving averages, reflecting market indecision.
The purchases coincided with broad declines across crypto equities. BitMine plunged 11.22%, Coinbase dropped 6.37%, and Circle fell 9.60% on Monday. Bitcoin and ethereum mirrored the selloff, losing 4.08% and 5.74% respectively.
Wood's investment thesis hinges on deflationary technology trends and anticipated inflation cooling. Ark's strategy of accumulating during drawdowns contrasts with momentum-driven approaches, positioning the firm as a contrarian buyer in volatile markets.
Ripple Expands RLUSD Stablecoin to Ethereum Layer 2 Networks via Wormhole
Ripple has announced the expansion of its RLUSD stablecoin to Ethereum, with a planned full rollout in 2026 following regulatory approvals. The stablecoin will initially undergo testing on four LAYER 2 networks: Optimism, Base, Ink, and Unichain. The integration leverages Wormhole's interoperability protocol to facilitate seamless cross-chain functionality.
The move injects approximately $1.3 billion of RLUSD supply into Ethereum's DeFi ecosystem, where it will compete with established stablecoins like USDC and USDT. While no formal partnership between Ripple and Ethereum was disclosed, the technical collaboration signals growing institutional interest in Ethereum's infrastructure.
Market observers note the strategic timing of this expansion, as Ethereum continues to dominate DeFi activity across lending, trading, and decentralized exchanges. RLUSD's regulated status positions it as a viable option for compliance-focused institutions entering the space.
