In a surprising move, Cathie Wood-led ARK Investment Management purchased a significant stake in Coinbase Global Inc (COIN) on a day when the stock experienced a sharp decline of over 12%. This decline resulted from the Securities and Exchange Commission (SEC) filing a lawsuit against Coinbase in a federal court. Despite the negative sentiment surrounding the company, ARK bought more than 419,000 shares, amounting to an estimated valuation of over $21.6 million. The purchase was made through three of ARK's funds: the ARK Innovation ETF (ARKK), the ARK Next Generation Internet ETF (ARKW), and the Ark Fintech Innovation ETF (ARKF). The SEC accuses Coinbase of unlawfully facilitating the trading of crypto asset securities by performing an exchange, broker-dealer, and clearing agency functions without proper registration, as outlined by SEC.