From beincrypto by Kamina Bashir

ARK Invest CEO and CIO Cathie Wood recently expressed skepticism regarding the utility of the TRUMP meme coin, a new cryptocurrency associated with US President Donald Trump. 

In an interview with Bloomberg TV, Wood noted that her firm has generally avoided investing in meme coins.

Cathie Wood Labels TRUMP Coin Part of the “Meme Coin Moment”

Wood drew parallels to the 2017 ICO movement, which was started by CryptoKitties. Therefore, she categorized TRUMP as part of the current “meme coin moment.” Nevertheless, TRUMP’s utility remained uncertain, according to her.

“So far, we don’t know of much utility for this coin, except that it is a meme point of President Trump himself,” Wood admitted.

She also addressed speculations surrounding the meme coin, noting that one of its rumored utilities is said to be the opportunity to meet the President. However, Wood expressed uncertainty about the validity of such claims.

“I think he’s ushering in the next phase of the crypto revolution,” she added.

When asked about investing in the Trump coin or other meme coins, the CEO clarified that ARK Invest has largely avoided meme coins, instead prioritizing cryptocurrencies with significant utility and potential. 

She highlighted Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) as their primary focus areas, noting that Bitcoin is central to their strategy, with ARKB being one of the larger Bitcoin ETFs. 

Wood also emphasized that Ethereum and Solana play key roles in their private funds due to their importance in supporting decentralized financial services, often referred to as DeFi or “finternet,” which she believes will drive substantial innovation in the crypto space.

“Those we believe are the big three,” the CEO remarked.

However, TRUMP has also gained significant market traction, despite being a new entrant. It boasts a market capitalization of $7.42 billion, securing its spot as the 29th largest cryptocurrency and the third largest meme coin by market cap. 

This rapid ascent has also attracted institutional attention. Rex Shares, for instance, has filed for meme coin ETFs that include TRUMP alongside other meme tokens like BONK and DOGE.

Interestingly, President Trump has admitted to limited knowledge about the TRUMP meme coin. During a recent White House press conference, he acknowledged his unfamiliarity with the cryptocurrency bearing his name.

Meanwhile, TRUMP isn’t the President’s only venture into the cryptocurrency space. In 2024, he also launched World Liberty Financial (WLF), a decentralized finance (DeFi) protocol.

Nonetheless, his involvement with the crypto space has drawn significant scrutiny. Notably, US Representative Gerald Connolly has called for an investigation into Trump’s financial ties to crypto ventures, including World Liberty Financial.