TL;DR
- ARK Invest sells $34 million in Coinbase shares and $1.5 million in Robinhood shares on February 14, marking its first big sale of the year.
- Selling Robinhood shares complies with specific regulations, while Coinbase shares remain a crucial part of the ARKW ETF holdings.
- Despite the stock sales, ARK increases its exposure to Bitcoin by acquiring an additional 1,960 BTC, bringing its total to 24,925 BTC.
ARK Invest, one of the issuers of a spot Bitcoin exchange-traded fund (ETF) in the United States, has made significant decisions regarding its investments in Coinbase and Robinhood stocks.
In a recent move, the company sold a considerable amount of shares in both companies on February 14, marking the first such sale of the year.
Coinbase stock sales amounted to 214,068 shares, while Robinhood shares sold reached 119,394.
This move represented a notable transaction, as Coinbase stock was hitting new highs in 2024, topping $160 for the first time since early January.
The sale of Coinbase generated profits of approximately $34 million for ARK Invest.
On the other hand, the sale of Robinhood shares totaled around $1.5 million.
ARK explained that this decision was made to comply with Rule 12d3-1
ARK had previously acquired Robinhood shares, but this sale represents a change in its investment strategy in relation to this company.
These moves have affected holdings of the ARKW ETF, where both Coinbase and Roku shares are important components of the fund.
Coinbase shares represent 9.5% of the ARKW ETF’s holdings, while Roku shares represent 7.7%.
Despite the stock sales, ARK continues to increase its exposure to Bitcoin through its spot Bitcoin ETF.
Recently, the ARK 21Shares Bitcoin ETF (ARKB) purchased an additional 1,960 BTC, bringing its total to 24,925 BTC, valued at $1.3 billion at the time of writing.
This increase in exposure to Bitcoin shows the company’s continued confidence in the cryptocurrency’s prospects.
ARK Invest’s recent decisions to sell shares of Coinbase and Robinhood, as well as its increase in exposure to Bitcoin, reflect a dynamic portfolio management strategy in an ever-changing market.
These moves have important implications for investors and offer insight into how ARK is positioning its funds in the current economic and financial landscape.
