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Cathie Wood’s ARK Invest Continues to Trim Coinbase Holdings

On January 5th, Cathie Wood’s ARK Invest made another significant move by selling 133,823 shares of the cryptocurrency exchange Coinbase.

The trading day began with Coinbase stock at $152.67 and concluded at $153.98.

ARK Invest publicly disclosed its trading activities for January 5th on January 8th through its official platform, X (formerly Twitter).

This disclosure included the sale of 107,151 Coinbase shares from its ARK Innovation ETF (ARKK), 15,892 shares from its ARK Next Generation Internet ETF (ARKW), and 10,780 shares from its ARK Fintech Innovation ETF (ARKF).

The total value of the recent Coinbase share divestment amounted to approximately $20.6 million, with the stock price hovering around $153.98.

In addition to selling Coinbase shares, ARK Invest also made changes to its portfolio by reducing its holdings in Stratasys and acquiring shares of Palantir Technologies and Iridium Communications.

Notably, this isn’t the first time ARK Invest has reduced its Coinbase holdings.

On January 3rd, ARK sold 166,000 Coinbase shares worth approximately $25 million, following a previous sell-off of 237,000 shares on December 5, 2023.

These divestments in December and January have yielded ARK Invest around $78 million.

READ MORE: Bitcoin Prepares for Volatility as U.S. Spot ETF Decision Looms in 2024

Despite these ongoing reductions in Coinbase shares, ARK still maintains a significant position in the exchange.

Coinbase remains the largest asset in the ARKK ETF, representing 10.04% of the portfolio, as well as being the largest asset in the ARKW ETF at 10.37% and the ARKF ETF at 13.41%.

These divestments come at a crucial time in the cryptocurrency world as the community eagerly awaits the decision of the United States Securities and Exchange Commission (SEC) regarding the approval or denial of the first spot Bitcoin exchange-traded fund (ETF) available to U.S. investors.

Cathie Wood’s ARK Invest is one of the 14 companies that have submitted applications for a spot Bitcoin ETF with the SEC.

Their ETF, known as ARK 21Shares, was developed in partnership with Swiss firm 21Shares, which specializes in cryptocurrency exchange-traded products.

Notably, ARK and 21Shares were the first to submit updates to their spot Bitcoin ETF application before the SEC’s December 29th deadline.

On January 4th, the ARK 21Shares Bitcoin ETF officially filed a registration notice with the SEC.

The SEC has until January 10th to make a decision on the ETF application, a decision that will be closely watched by the cryptocurrency and investment communities.

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Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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