Cathie Wood Eyes Fund Tokenization

Meta Falls, Erases 2025 Gains and Nvidia Unveils Next-Gen AI Chips

CRYPTO
Cathie Wood Eyes Fund Tokenization

Ark Invest CEO Cathie Wood plans to tokenize the firm’s funds once U.S. regulations permit, reflecting the rising trend of asset tokenization. Coinbase, a key Ark holding, is also exploring security token issuance but lacks concrete plans due to ongoing SEC discussions.

Wood, an early crypto investor in traditional finance, believes tokenization will be transformative. Speaking at the Digital Asset Summit, she expressed interest in tokenizing Ark’s Venture Fund (ARKVX) and Digital Asset Revolution Fund once regulations allow. She noted that regulatory changes could soon create opportunities.

Despite projections that the tokenization market could reach trillions by 2030, U.S. regulators have yet to provide a clear framework. Coinbase has engaged in discussions with the SEC about security tokens but remains in an exploratory phase. While Base founder Jesse Pollack mentioned interest in tokenizing assets like Coinbase stock, no official plans exist yet.

TECH
Meta Falls, Erases 2025 Gains

Meta Platforms Inc. dropped over 4% on Tuesday, becoming the last of the Magnificent Seven stocks to turn negative in 2025. This decline follows a record 20-day rally, during which the stock surged nearly 26% before erasing all gains.

KeyBanc analyst Justin Patterson lowered his price target for Meta from $750 to $710, citing macro uncertainty and rising AI-related fixed costs. He noted that Meta’s heavy AI investments limit its ability to cut expenses in downturns, a challenge Alphabet also faces.

Tech stocks have struggled amid economic uncertainty and the Trump administration’s tariff policies. The Bloomberg Magnificent 7 Total Return Index has dropped 16% this year, with Tesla down 44%, Alphabet 17%, and Apple and Nvidia both falling 14%. The Nasdaq 100 Index has declined 7.3%, entering correction territory. After two years of outperformance, big tech stocks have become a key target for profit-taking.

TECH
Nvidia Unveils Next-Gen AI Chips

Nvidia unveiled new AI-focused chips at its GTC conference, including Blackwell Ultra, set to launch in late 2025, and the Vera Rubin GPU, arriving in 2026. These chips aim to improve AI performance and efficiency, crucial for cloud giants like Microsoft, Google, and Amazon.

CEO Jensen Huang highlighted the increasing demand for computing power due to AI advancements. Nvidia also introduced its first custom CPU, Vera, designed to enhance processing speed. Rubin GPUs will support up to 288GB of memory and double inference performance compared to Blackwell.

The company is shifting to annual chip releases, marking a strategic change from its previous two-year cycle. Nvidia also showcased AI-focused PCs and improved networking tools for large-scale AI models.

Despite competition, Nvidia remains dominant in AI hardware, with its chips crucial for next-gen AI applications, including agentic AI, which enhances reasoning in AI models. The new Blackwell Ultra chips are optimized for this breakthrough.

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