ARK Invest Takes a New Step into Crypto with Index ETFs

ARK Invest, the company known for its bold moves in finance, is trying something new in the crypto world. They want to create two special funds that follow the CoinDesk 20 index. This index is like a report card for the top 20 cryptocurrencies, including big names like Bitcoin, Ethereum, Solana, XRP, and Cardano. These funds won't actually hold the cryptocurrencies. Instead, they will use something called futures contracts. Think of these as bets on how the prices of these cryptocurrencies will change. One fund will follow the CoinDesk 20 index as a whole. The other will do the same but without Bitcoin, by balancing bets on the index with bets against Bitcoin.The idea is to make it easier for people to invest in a mix of cryptocurrencies without the hassle of buying and storing them directly. These funds would be listed on the NYSE Arca exchange, but the exchange hasn't taken the next step with regulators yet. ARK isn't the only one trying this. Other companies like WisdomTree and ProShares have also proposed similar funds. However, none of these have been approved yet. This means there's still a big opportunity for someone to be the first to offer a diversified crypto ETF. ARK has already made waves with its Bitcoin ETFs. But these new funds show they're not stopping there. They want to cover more of the crypto market. It's a smart move, but will it pay off? Only time will tell.