The CEO of Ark Invest, Cathie Wood, who has been a pioneer in traditional financial investment in the cryptocurrency space, is eager to transition some of her company’s funds to the blockchain once regulatory conditions in the U.S. permit such movements.
“We believe that tokenization will be monumental,” Wood expressed at the Digital Asset Summit held in New York on Tuesday. “We would love to be able to tokenize our Venture Fund (ARKVX) or our [Digital Asset] Revolution Fund.”
“I see the regulations beginning to evolve in a way that will facilitate this. Therefore, we are keen to capitalize on this opportunity,” she further remarked.
Currently, U.S. regulators have not established a definitive framework or guidelines for the registration of security tokens. This lack of clarity poses challenges for firms like Ark that wish to introduce offerings in what many anticipate could develop into a multi-trillion-dollar market by the end of 2030.
Executives from Coinbase, a significant investment for Ark, have previously shared a similar perspective, though it lacked specific details as companies seek to navigate the tokenization sector.
During the Morgan Stanley Technology, Media and Telecom Conference earlier this month, Coinbase’s Chief Financial Officer Alesia Haas mentioned that the crypto exchange is engaged in discussions with the Securities and Exchange Commission (SEC) regarding the issuance of a security token, a venture that faltered when Coinbase tried to go public with such a product in 2020.
Later, Jesse Pollack, the founder of Base, the Ethereum Layer 2 network developed by Coinbase, noted in a post on X that there were no definitive plans to tokenize Coinbase’s stock.
“We are in a phase of exploration and are working to comprehend what regulatory aspects need to be addressed to bring assets like $COIN to @base in a secure, compliant, and forward-thinking manner,” he stated.