ARK Invest, led by Cathie Wood, has taken a significant step in the cryptocurrency market by filing applications for two new index ETFs linked to the CoinDesk 20 Index. One fund will offer an exact replication of the CoinDesk 20 Index, while the other will track the index excluding Bitcoin. The CoinDesk 20 is a well-known cryptocurrency index that monitors the performance of the largest and most stable base of 20 cryptocurrencies, providing investors with an overview of the overall market. ARK Invest aims to offer investors easier and more structured investment opportunities in crypto assets, particularly for those interested in cryptocurrencies beyond Bitcoin.
This move by ARK Invest reflects growing trends and new investment opportunities in the cryptocurrency market. Offering crypto indexes in ETF form will enable investors to build diversified portfolios more easily and hedge against the market’s volatility. The Bitcoin-excluded ETF could be especially beneficial for investors seeking to avoid Bitcoin’s risks or diversify their holdings. If these ETFs are approved and launched on regulated markets, they could make cryptocurrency investment more accessible and mainstream, further promoting crypto adoption in global financial markets. However, due to market uncertainties and regulatory changes, investors will need to exercise caution.
Source: coindesk
