AMA – ARK | 21Shares

ARK | 21Shares AMA
Cathie Wood of Ark Invest & 21Shares' co-founders Ophelia Snyder & Hany Rashwan are here to answer your questions about:

•    Bitcoin ETFs
•    Benefits of ETFs
•    Current Crypto Landscape
•    Outlook for 2024

We will be live for 1hr on 3/28 @ 11am ET.

Official Announcement

About ARK

Based in St. Petersburg, Florida, ARK Investment Management LLC (“ARK” or “ARK Invest”) is a federally registered investment adviser and privately held investment firm. Specializing in thematic investing in disruptive innovation, the firm is rooted in over 40 years ofexperience in identifying and investing in innovations that should change the way the world works. Through its open research process, ARK identifies companies that it believes are leading and benefiting from cross-sector innovations such as robotics, energy storage, DNA sequencing, artificial intelligence, and blockchain technology. ARK's investment strategies include: Autonomous Technologyand Robotics, Next Generation Internet, Genomic Revolution, Fintech Innovation, 3D Printing, Israel Innovative Technology, Transparency, and the overall ARK Disruptive Innovation Strategy.

For more information about ARK, its offerings, and original research, please visit www.ark-invest.com

About 21Shares

With headquarters in New York City and Zurich, 21Shares US LLC serves as the sponsor to the ARK 21Shares Bitcoin ETF.  21Shares US LLC is an affiliate of 21Shares AG, one of the world’s leaders in providing access to crypto through TradFi and DeFi. 21Shares AG issues cryptocurrency-backed exchange traded products (ETPs) outside the United States in a number of global markets. 21Shares AG’s ETPs are built on its proprietary operating system, Onyx, which is also available to third parties.

For more information, please visit www.21Shares.com/en-US

50 thoughts on “AMA – ARK | 21Shares”

  1. Thank you for hosting this AMA in r/CryptoCurrency!

    Assuming the SEC were to reject all spot ETH ETF applications, would you anticipate any of the applicants to take the case to court similar to grayscale for their spot BTC ETF application?

  2. What’s your point of view on BTC ETFs during an upcoming inevitable bear market in some months/years ? Do you think the inflow could help finding higher supports than those found during past cycles, making BTC a less volatile asset ?

    Thanks to all for participating in this AMA in our community.

    1. Your first point, Bitcoin ETFs.

    It still remains somewhat unclear as to when the providers has to acquire or sell BTC based on flows into the funds. Previously there has been openness, but in reality, data like this is not available. Could you give any more insight? Whats stopping the process of X buying into say ARKB and then ARKB immediately acquiring BTC?

    1. In terms of compliance and AML, which region of the world would you say has the most strict procedures?
  3. In your Ark Fintech Innovation ETF, your company has included Reddit (RDDT).

    Why is RDDT added as “fintech innovation”? What part of it do you see engaged in the theme of financial technology?

  4. Two questions:

    1. In your opinion, what’s the main advantage Coinbase has over other exchanges?
    2. This one is just a fun curiosity, who do you think Satoshi Nakamoto is? 🙂
  5. What if exchanges took in more purchases of Bitcoin than they have Bitcoin on their balance sheet? What happens when demand outpaces the supply?

  6. Systems like Onyx aren’t really talked about in the DeFi space.

    Does it allow fund managers to actually interact with or control assets on blockchains and DApps?

  7. What is your opinion on the prospect of other crypto currency ETFs? Like an ETH ETF or a Solana ETF for example. Is it a possibility in the near future?

  8. Hey Cathy, hope you’re well. The reason for the message today, Cathy, is something just came across my desk. It is perhaps the best thing I’ve seen in the last six months. If you have 60 seconds, I’d like to share the idea with you. The name of the project, MOONs!!!!!

  9. Hey Cathie, huge fan here!

    Do you think the Ethereum ETFs will be approved by regulatory authorities soon? or even at all?

  10. What are your thoughts on the upcoming SEC pressures to label certain cryptocurrencies (such as Ethereum) as securities?

    What are your thoughts on community tokens used on Reddit such as MOON and DONUT?

  11. Where do you position emergence of Quantum Computing? it does not appear among ARK 14 disruptive technologies. It is a threat to blockchain crypto security but at the same time holds a lot of computing power promises plus can help secure blockchain.

  12. ARK and Cathie Wood have made headlines for their eye-opening Tesla and Bitcoin predictions over the years.

    CW predicted $105000 (post-split) TSLA by 2025 prediction in 2018, which was then revised to $9000 in 2021.

    These are far off from TSLA’s current value of $180, and TSLA has never gone above $410.

    She has also made a $500k BTC prediction for 2025, and then doubled down on it at $1.5M BTC by 2030.

    Realistically, why should we believe your Bitcoin predictions given how badly the TSLA ones have gone?

    In addition, your flagship ARKK ETF has underperformed or tied the S&P 500 every year since 2017 except for 2020?

    All ARK funds dropped 70% from 2021 to 2022 and have stayed 60-70% down. In comparison, NASDAQ and S&P500 stocks have recovered and are now 20% above their 2021 peaks. ARKK is still at its 2018 level while most index funds are up 80-200%.

    Why should we ever put any trust in ARK or Cathie Wood?

    Is this one of those strategies where any publicity, even negative publicity, is better than none at all?

    Sources:

    • https://www.cnbc.com/2020/02/05/tesla-shares-could-reach-7000-in-next-5-years-catherine-wood-says.html
    • https://www.ark-invest.com/articles/valuation-models/tesla-price-target-2
    • https://www.yahoo.com/news/cathie-wood-560-000-bitcoin-212000464.html
    • https://www.coindesk.com/markets/2024/01/11/cathie-wood-sees-bitcoin-price-reaching-15m-by-2030-after-etf-approval/

    (Note that TSLA has had 2 splits: 5-1 on August 31, 2020, and 3-1 on August 25, 2022. That means $15 of TSLA in 2024 is worth $1 of TSLA in 2019.)

  13. Welcome everyone, so exciting to have you here!

    1. What is your thought on if and when hyperbitcoinization will hapen and if you have time expand on how do you imagine the world will look like then?

    2. How did you feel when ETFs got approved and what were you doing at that moment?

    3. Do you think social tokens like Moons and web3 will play a big part in future app driven world, fundamentally changing the way we see and use apps, getting something in return for our contributions and taking our reputation with us?

    4. Do you ever lurk reddit?

  14. Hi Cathie – What’s the rationale behind dumping $COIN when it’s doing well and when you’re long crypto in general?

  15. Hi Cathie, I was wondering what your thoughts on the Ethereum ETF approval are? Also if you have plans on incorporating crypto currencies together with other existing ARK theme ETFs or creating a new theme which houses various cryptocurrencies

  16. What are the odds of the etherium spot etfs getting approved? Do you think they will get approved before the end of may?

  17. What role do you think CEX need to play to ensure the success of crypto?

    Lack of a physical support will deter a lot of people. Ive been having an issue with Coinbase for over a year because my authenticator got wiped out when I got a new phone.

  18. Hi Cathie, what are the institutional views on Bitcoin adjacent coins like Litecoin? Will we see more institutional adoption or is Bitcoin as far as people willing to go?

  19. Hi Cathy,

    Does Bitcoins energy use concern you? Will increased adoption not just bring further energy consumption? Proof of Stake seems like a much more sensible and efficient way to do things and yet the number 1 coin still is consuming energy comparable to some small countries.

    It seems so counter to everything we are trying to do to live sustainably and reduce emissions etc.

  20. Hello! Thank you for spending time with our sub! I have a few questions:

    This sub uses the cryptocurrency Moons, what advice do you have for the community for how we could turn Moons into a legitimate and successful investment?

    Would you consider buying and holding Moons either personally or for your firms? If not at the time, what could the community do to make Moons a viable investment for firms like Ark or 21Shares?

  21. Hi Cathie, Ophelia, and Hany. Do you think ETF’s could cause more market volatility or more stability long and short term?

  22. Hi Cathie, Ophelia & Hany!

    I have a couple of questions:

    1.) What is your opinion on XRP/Ripple?

    Despite it’s many partnerships with big corporations like Amazon, big banks like BoA & many other international financial institutions, it continues to be attacked by the SEC and despite many in the community remaining hopeful that it will see a proper valuation it has mostly remained undervalued. I have read that some countries are considering a “10 second rule” for crypto transactions which would make XRP a very integral component to the crypto ecosystem. Recently Blackrock’s CEO was asked about whether an ETH ETF would be next for consideration after the success of BTC ETFs, the interviewer immediately added “what about XRP?” the CEO laughed before quickly saying something along the lines of “I can’t comment on that” what do you make of this & what is your forecast for the future of Ripple/XRP?

    2.) What is your take on tokenization of physical assets?

    Recently a project called Propy (PRO) has been getting discussed a lot – utilizing smart contracts for real estate transactions. Do you see this as a natural progression of blockchain technology being applied to existing markets & something that will actually catch on? Is there a future in the tokenization of physical assets?

    3.) Do you see blockchain technology being utilized in voting?

    Pretty self-explanatory question, but voter fraud & manipulation of elections has been a big topic in the US in recent years – fair & transparent elections should be a given globally, do you think blockchain technology will ever be earnestly implemented in the world of politics? I understand this is not necessarily what you’re here to talk about but curious to hear your thoughts.

    Thank you so much for your time & hope you have a great AMA!

  23. So is the hour up and they’re done taking questions? Because I’m not seeing any response from them.

  24. What are your thoughts on the Ripple vs. SEC litigation?

    Do you think XRP will get an ETF eventually?

  25. Hey Ark Invest and 21Shares folks! How do you think the current macroeconomic situation will influence what happens to BTC pricing post-halving? Historically, all BTC halvings have essentially been in low-inflation, low-interest rate environments (with regards to the US economy, at least). However, we’re currently in a state of above average inflation and the highest interest rates we’ve seen since before the Great Recession. I’d be curious about your thoughts. Thanks.

  26. Hi Cathie, I hope you are well and thank you for providing your insight.
    What do you consider is the true market cap of bitcoin after other institutions such as wire houses participate in the market? Estimated inflows?

  27. A couple of questions for Cathie.

    1. What do you think is the biggest challenge to Bitcoin and crypto really going mainstream?

    2. How hard was it to become so influential in a man dominated world such as crypto and partially even major finance?

    3. Opinion on social tokens like Moons and using crypto as a way of giving influence and control of a network to its most active users?

    Thanks for coming to our sub and answering!

  28. Do you believe that tokenization is the future for stocks and bonds or will most of TradFi push against it?

  29. Hi guys 🙂

    In your opinion, what industry(ies) are most likely to fully adopt blockchain technology over the next 5-10 years?

  30. You’ve predicted a $1m+ BTC by around 2030. I presume this would entail pretty substantial inflation along the way, so what kind of macro environment do you envision in order for this to be achieved? Things like house prices must surely also have gone crazy alongside this?

  31. These questions are for Ms. Cathie Wood.

    You have championed the idea of “disruptive innovation” and even launched the Duddy Innovation Institute at the all-female Notre Dame Academy of Los Angeles. It is also well-known you are pro-crypto.

    Here we are participating in an AMA on the subReddit r/cryptocurrency, the largest crypto community on Reddit (7.7 million users). However, it feels like for every 100 males we have in here, we only have one female, which is indicative of the overall crypto space. How do we get more females interested and involved in cryptocurrency?

    And speaking of disruptive innovation, this subReddit’s own cryptocurrency “Moons” were created to incentivize its users with financial rewards based on their involvement in the community. As users gain more “upvotes” for their posts and comments, r/cryptocurrency rewards them with Moons – a concept which continues to pioneer the future Web3 experience. Moons can then be traded on major CEXs and DEXs, but most importantly they are used as a governance tool allowing its holders to vote on community changes.

    Moons have become the ideal crypto for the beginner as they come with a massive community, they are free, and they allow the individual to vote on the community’s direction. However, we still have that black hole of limited females in our community. How can r/cryptocurrency utilize Moons to adopt more female users? What are we missing?

  32. How do you see stable coin regulation advancing? I feel that too many legislators say they are a bad thing but the stables are actually a big buyer of treasuries, right?

    Isn’t this a good thing for our country and could act as a digital dollar outside of the US that is cheap and easy to send like USDC on Algorand?

  33. First off thanks for doing this. I have a few questions outside of the ETF’s. Is fiat money meant to enslave mankind? Everybody I know is deeply in debt and inflation is out of control. All money is debt having to be paid back with interest. If the production slows and the money isn’t paid back people get foreclosed on, cars get repossessed, etc..

    While every country’s central banks keep expanding the money supply and the governments keep spending. Nobody sees any end in sight for this until the people solely rely on the government(s) for like a universal basic income or the whole fiat ponzi scheme implodes.

    This system of true fiat has only been around since 1971 when Nixon closed the gold window and since then people have been getting poorer and poorer. Nobody has any savings for emergencies, housing is unaffordable, college is crazy expensive and that’s with mostly every family member working. My grandpa raised a family with 5 kids and a wife and saved for retirement with a job that didn’t require a college degree. That is absolutely unheard of now.

    Nixon closed it 52 years ago, what will the next 52 years look like if fiat continues?

    Do you think crypto has a real chance of bringing back hard money to the world?

    I love your excitement for Bitcoin!

    Thanks and best of luck with your ETF’s and your company.

  34. How do you predict that BTC will reach $1.5 million or $3.8 million etc? Can you please provide a rough calculation supporting those claims?

  35. Coinbase seems to be the custodian for the majority of BTC ETFs, how should we think about the security of their offering?

  36. Hi Cathie. I’ve heard your price predictions for BTC in 2030, but it would be interesting to hear your thoughts on a guesstimate for this cycle (2024/25).

  37. What criteria does ARK Investment Management use to identify companies for inclusion in its investing strategies? How does the firm stay ahead in identifying emerging disruptive innovations?

  38. Do you think a spot ETF for BitcoinCash, Litecoin, or Doge coin will be coming in the near future? If so, when is your estimate? If not, what about the distant future?

  39. Hi Cathie,

    Apart from Bitcoin and Ether ETFs, do financial institutions plan to launch other ETFs (e.g. for Doge, LTC, BCH) ?

    Will you also shill me your top 3 memestocks and altcoins ?

  40. Hi Cathie, great to have you here! My question is about Bitcoin and its dominance in the crypto space. Since day 1 BTC has been the biggest cryptocurrency by far, do you think that will still be the case in 10, 20, 50 years? Are there any projects or developments that could threaten that status? Thanks!

  41. Great to have you all here, very much appreciated!

    We all know that BTC and the Crypto market are following a Bear/Bull cycle, which is almost turning predictable at this point.

    Right now BTC is going into it’s next Bullrun, but this time with BTC ETF’s and possible ETH ETF’s, which is a first since the creation of BTC.

    Would this possibly affect the Bear/Bull cycle to the point that we will not have such a heavy bearmarkets anymore and that the Crypto market will finally mature to the point of it being the same as the stockmarket?

    Thanks again, great to have you guys here!

  42. Hi Cathie. I am wondering if you can shed light on why have ARK and other ETH ETF applicants added staking to their ETF applications. What is the reasoning/strategy behind it?

  43. Hi Cathie. Hope all is well. I would love to treat you to a round of golf at Fox Harbour. We have a runway, so you can land your plane here. Send me a message to coordinate. Take care.

  44. Verification for Ophelia & Hany!
    u/HanyRashwan – https://imgur.com/a/duVDqkA

    u/OpheliaBSnyder – https://imgur.com/a/QrlDg5X

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