Cathie Wood sees Coinbase stake as bet on clarity in crypto regulation

Cathie Wood's purchase of more than 400K Coinbase Global ( NASDAQ: COIN ) shares after the Securities and Exchange Commission sued the cryptocurrency exchange isn't betting against the government, she said Friday. "Actually, I'm betting on the checks and balances inherent in our government," she said during an interview on CNBC. Wood said she's encouraged that the legislative and judicial branches are "studying and getting involved in this topic. I think it's great." Last week, the Representatives Patrick McHenry and Glenn Thompson released a proposal for a digital asset market structure. And there are a number of crypto-related cases making their way through the courts. Coinbase ( COIN ) said it's prepared to take its fight with the SEC to the Supreme Court . The SEC's regulation and the regulatory uncertainty in the U.S. regarding crypto "is chasing digital asset business away from this country," she said. Wood expects that digital asset regulation will be an election year issue. With that and the legislative branch and courts weighing in, she sees more clarity in regulation and eventually a path to registering digital assets for trading. "I think in the next year, we'll get a lot more certainty," she said. Friday's development that Binance.US is halting US dollar deposits "from a market share point of view is a benefit to Coinbase ( COIN )," she said. She still stands behind the view that bitcoin ( BTC-USD ) will jump to $600K by 2030, and more than $1M in her bull case. Bitcoin recently traded at almost $26.7K on Friday morning, up 1.1% . Coinbase ( COIN ) edged down 0.1% . More on Coinbase and the SEC: Moody's cuts Coinbase outlook to negative on SEC charges, but affirms credit ratings Coinbase Global Is in Serious Trouble Coinbase Stock: Look Out Below SEC versus crypto: Regulatory clarity or confusion? SEC sues Coinbase for operating as unregistered broker SEC alt-coin clampdown could put 30% of Coinbase revenue at risk, Mizuho says