ARK Invest Continues to Sell Coinbase Shares
ARK Invest, led by Cathie Wood, has sold 166,183 shares of Coinbase Global Inc., worth approximately $25.3 million. This is part of the firm’s ongoing trend of offloading shares of the cryptocurrency exchange.
Details of the Sales
The latest filings from ARK Invest show that the ARK Innovation ETF (ARKK) sold 145,048 Coinbase shares, while the ARK Next Generation Internet ETF (ARKW) sold 21,135 shares of the crypto exchange on January 3.
Sell-Off and Coinbase’s Stock Performance
These sales follow ARK Invest divesting over $200 million worth of Coinbase shares in recent weeks, indicating a significant shift in their investment strategy regarding the crypto exchange.
Despite the sell-off, Coinbase’s stock has performed well, experiencing over a 300% increase in the past year. However, it closed down 2.96% at $152.24 on Wednesday.
ARK Continues Selling Streak with Robinhood
In addition to selling Coinbase shares, on January 2, ARK Invest sold 3,360 Coinbase shares worth over $580K and 23,606 shares of Robinhood Markets Inc., valued at nearly $300K. These sales were made across various ETFs managed by Ark.
Coinbase’s Role as a Crypto Asset Custodian
Crypto exchange Coinbase has gained attention for being chosen as the custodian for crypto assets by several traditional financial institutions. This includes BlackRock, one of many firms filing for spot bitcoin exchange-traded funds.
Selling GBTC and Reallocating Funds
ARK Invest also sold 2.25 million shares of the Grayscale Bitcoin Trust (GBTC) last week, valued at approximately $81 million. The funds from this sale were then reinvested in the ARK 21Shares Active Bitcoin Futures Strategy ETF (ARKA) and the ProShares Bitcoin Strategy ETF (BITO). This move is part of ARK Invest’s preparations for the potential approval of its own spot Bitcoin ETF, ARKB.
Various issuers of spot Bitcoin ETFs, including Ark 21Shares, have made revisions to their proposals in anticipation of a potential approval decision from the U.S. SEC, expected as early as January 10.
Hot Take: ARK Invest Continues Selling Coinbase Shares
ARK Invest, led by Cathie Wood, has been actively selling its shares of Coinbase Global Inc., with recent sales totaling over $200 million. This sell-off reflects a shift in ARK Invest’s investment strategy regarding the popular cryptocurrency exchange. Despite these sales, Coinbase’s stock performance has been impressive, showing significant growth over the past year. It remains to be seen how this selling spree will impact both ARK Invest and Coinbase moving forward.
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