Amid widespread criticisms of Donald Trump’s newly launched meme coin, Ark Investment’s CEO, Cathie Wood, has insisted that the ploy ushers in a new crypto revolution.
She told Bloomberg in a recent interview that the launch suggested a paradigm shift in the crypto industry as meme coins gain traction. The Bitcoin enthusiast stated that this is one of the “meme coin moments” for crypto as the sector continues to match toe to toe with utility assets.
Wood likened the recent movement to the initial coin offering (ICO) campaign, which was predominant in 2017. During this phase, thousands of crypto assets raised substantial funds by offering pre-mined coins to investors, birthing major projects like the EOS network, Chainlink, and Ethereum.
Trump Meme’s Only Utility
Notably, President Trump surprised the crypto market after launching his official meme coin on the Solana network on January 17. Expectedly, the TRUMP token surged massively, hitting an all-time high of $77 a few days after its market debut.
However, the token has retraced to around $17, further putting pressure on speculation about the asset’s actual use case. Wood stated that, at the moment, TRUMP’s only confirmed use case is its affiliation with the US president.
Meanwhile, the Ark Invest CEO mentioned that there is speculation that token holders will have a chance to meet with the owner, Trump. Nonetheless, this remains speculative and unconfirmed at the moment.
Focused on the Big Three
Despite noting that the token ushers in a new revolution, Wood passed on buying the official Trump meme token. She stated that Ark Invest has generally avoided the meme sector and would not make exceptions for TRUMP.
Wood stated that the firm focuses only on what it perceives as the top three cryptocurrencies in the sector. Aside from Bitcoin, the pioneering asset’s scarce and assured properties, Ark Investment is big on Ethereum and Solana due to their crucial role in decentralized financial services, which it believes will be massive in the future.
Meanwhile, meme coins seem to be eating deep into the fabric of the digital asset industry despite the widespread concerns about lack of utility. Asset managers Bitwise and Grayscale recently filed for a Dogecoin spot exchange-traded fund (ETF), providing exposure to the leading meme coin by market cap.
