A metaverse related stock has found its way into an ETF from Ark Funds. Here’s the stock and what Ark Funds CEO Cathie Wood has said about the metaverse investment opportunity.
What Happened: The Ark Autonomous Technology & Robotics ETF (BATS:ARKQ) took an initial stake in Matterport Inc (NASDAQ:MTTR) Monday.
The ETF, led by Wood, bought 534,829 shares of Matterport on Monday for a total of $4.26 million. The stake in Matterport is currently the 37th largest holding in the ETF, representing 0.25% of assets in the fund.
About Matterport: Operating as a leading spatial data company, Matterport provides solutions to create digital twins of any physical space, bringing physical to digital.
The company, which went public via SPAC merger, was highlighted in 2021 by Wedbush analyst Daniel Ives over a partnership with Meta Platforms (NASDAQ:FB).
“We believe this was the first step towards a much broader Facebook and Matterport relationship as Zuckerberg & Co. head down the metaverse path,” Ives said.
A partnership with Facebook calls for Matterport to create the largest-ever dataset of 3D indoor spaces via Facebook AI Research.
Matterport has a “vast 3D-data library,” which Ives called unmatched in the industry.
“We continue to believe Matterport is in the early innings of a massive growth story playing out over the coming years.”
In a previous interview with Benzinga, Matterport CEO RJ Pittman said Facebook was interested in the “diversity of Matterport’s data.”
Pittman said Matterport’s first phase was digitizing the built world. The second phase is bringing the “treasure trove” of data Matterport has collected to life.
“This is where we think the real future of the digital transformation of the built world sits.”
Once seen as an under-the-radar play on the growth of the metaverse, Matterport was one of several companies that jumped into the spotlight when Facebook announced it was changing its name to Meta Platforms and placing heavy bets on the metaverse.
Matterport is also a holding in the Roundhill Ball Metaverse ETF (NYSE:METV), representing 1.6% of assets in the fund.
Related Link: Benzinga Asks: Which Ark Fund Would You Rather Buy And Hold For 5 Years
Wood on Metaverse: The metaverse could be in the early stages of development, according to Wood.
“It’s a big idea that will probably infiltrate – just like technology is, anyway -every sector in ways that we cannot even imagine right now,” Wood said.
Wood sees the metaverse as a multitrillion-dollar opportunity.
Beyond gaming and consumer goods, Wood sees growth in the metaverse coming from additional industries. “We’re going to have our digital twins, and it’s going to enable a lot of fun and a lot of efficiencies,” she predicted.
MTTR Price Action: Matterport shares are up 5% to $8.39 on Tuesday.
