Grayscale Bitcoin Trust (GBTC)

With the rise of bitcoin over the last several years, quite a few bitcoin funds have entered the market. Grayscale Bitcoin Trust is one of them.

According to GBTC, its shares aim to reflect the value of its bitcoin holdings, less fees and expenses. The fund says that it hasn’t met this objective because its shares have traded at a premium or discount to that value which “at times has been substantial.”

Year to date, GBTC shares have fallen 75%.

The bankruptcy of cryptocurrency exchange FTX has sent shock waves across the crypto space and that’s one of the reasons why investors have been offloading GBTC shares. As a result, GTBC trades at a steep discount to its underlying asset — bitcoin.

That discount caught Wood’s attention. It was reported that on Monday, Ark Investment Management snapped up 176,945 shares of GBTC, worth approximately $1.5 million.

Fine wine is a sweet comfort in any situation — and now it can make your investment portfolio a little more comfortable, too. Now a platform called Vinovest helps everyday buyers invest in fine wines — no sommelier certification required.

Invest Now

Coinbase Global (COIN)

If you’ve ever bought bitcoin from an exchange before, you know that there are typically transaction fees involved. And as more people rushed to buy cryptocurrencies, these transaction fees quickly added up.

That’s where Coinbase found its opportunity. As the largest cryptocurrency exchange in the U.S., it earns a transaction fee every time someone buys or sells cryptocurrency on its exchange.

In Q3, Coinbase had 8.5 million monthly transacting users. It earned $366 million in transaction revenue and $211 million in subscription and services revenue.

Given the downturn in cryptocurrencies, it’s no surprise that Coinbase shares have also experienced heavy volatility — they are down a painful 82% in 2022.

But the company remains in Wood’s portfolio. Ark Invest’s flagship fund Ark Innovation ETF (ARKK) holds more than 5.9 million shares of Coinbase, worth approximately $257.1 million.

Block (SQ)

Wood’s Ark Innovation ETF also owns 6.26 million shares of Block, a digital payments technologist formerly known as Square.

With the stake valued at $392.7 million, Block is currently the fifth largest holding at ARKK.

Management changed the name last December because “Square” had become synonymous with the company’s seller business. But the move did little to cheer up investors. In 2022, shares have tumbled more than 60%.

While the company is far from a market favorite right now, it continues to deliver some very impressive numbers.

In Q3, total net revenue rose 17% year over year to $4.52 billion. Gross profit came in at $1.57 billion, up 38% from a year ago.

The company is also a play on cryptocurrency: for the quarter, Block generated $1.76 billion of bitcoin revenue and earned $37 million of bitcoin gross profit.

Get a piece of commercial real estate

Enhance your portfolio with high-return commercial real estate

First National Realty Partners is the #1 option for accredited investors seeking superior risk-adjusted returns in the grocery-anchored necessity-based retail space.

While commercial real estate has always been reserved for a few elite investors, outperforming the S&P 500 over a 25-year period, First National Realty Partners allows you to access institutional-quality commercial real estate investments — without the leg work of finding deals yourself.

Invest with First National Realty Partners now.

About the Author

Jing Pan

Jing Pan

Investment Reporter

Jing is an investment reporter for MoneyWise. He is an avid advocate of investing for passive income. Despite the ups and downs he’s been through with the markets, Jing believes that you can generate a steadily increasing income stream by investing in high quality companies.

What to Read Next

Disclaimer

The content provided on MoneyWise is information to help users become financially literate. It is neither tax nor legal advice, is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional. We make no representation or warranty of any kind, either express or implied, with respect to the data provided, the timeliness thereof, the results to be obtained by the use thereof or any other matter.