Ark Invest CEO Cathie Wood stated that Binance’s legal problems in the USA will benefit Coinbase because the competitive environment will disappear.
The world’s two largest cryptocurrency exchanges have faced regulatory pressure after the Securities and Exchange Commission sued for allegedly selling unregistered securities. Commenting on the subject on Bloomberg television, Cathie Wood said that the legal problems Binance experienced will be good for Coinbase in the long run.
Wood: I Trust My Bitcoin Prediction
Cathie Wood stated that Binance is facing many charges, including fraud, so competition for Coinbase has disappeared.
Wood said in a statement: “Binance is facing multiple charges, including fraud. It is therefore under increasing regulatory scrutiny. So the competition for Coinbase is gone, which is good for Coinbase in the long run.”
Stating that Coinbase is not involved in any criminal activity, Wood said: “There are questions about security and staking. “These are two questions Coinbase and Binance are facing, but most of the other Binance-related questions have nothing to do with Coinbase.”
Ark Invest, where Wood is the CEO, announced that it has purchased more than 400,000 shares of Coinbase after these developments. Ark is Coinbase’s fourth-largest owner and continues to add to its stakes after nearly a year of declines. In addition, Wood said that he still trusts his goal of 1 million dollars for Bitcoin, and as uncertainty and fluctuation in global economies increase, Ark’s confidence in Bitcoin has increased.
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