ARK Invest Trims Coinbase Holdings Amid Record Rally

Cathie Wood’s ARK Invest took advantage of the recent surge in Coinbase Global Inc.’s stock, selling nearly half a million shares. However, the cryptocurrency exchange remains a top holding in some of her exchange-traded funds.

ARK Invest revealed in a recent email to investors that three of its ETFs offloaded Coinbase shares valued at over $50 million based on Friday’s closing price of $105.31.

Coinbase experienced an unprecedented 24.5% increase on Thursday, marking its largest single-day gain since it went public in April 2021. The surge came after a court ruling related to cryptocurrency tokens, which was seen as favorable in the company’s battle against securities regulators.

Although the stock pulled back 1.6% on Friday, it has surged by 47.2% throughout July and has seen a remarkable 197.6% increase this year. In comparison, bitcoin has rallied by 82.5% in 2021, while the S&P 500 index has advanced 17.3%.

Also read: Coinbase stock explodes higher as enthusiasm builds for spot bitcoin ETFs.

ARK ETF’s Friday sales of Coinbase stock are as follows (values based on Friday’s closing price):

  • ETF #1: Sold ($X)
  • ETF #2: Sold ($X)
  • ETF #3: Sold ($X)

ETF Share Sales

ARK Investment Management LLC’s exchange-traded funds (ETFs) have recently sold a significant number of shares. Here are the details:

ARK Innovation ETF (ARKK)

  • Shares Sold: 263,247
  • Total Value: $27.72 million

ARK Net Generation Internet ETF (ARKW)

  • Shares Sold: 93,227
  • Total Value: $9.82 million

ARK Fintech Innovation ETF (ARKF)

  • Shares Sold: 121,882
  • Total Value: $12.84 million

In total, these ETFs sold 478,356 shares with a combined value of $50.38 million.

Coinbase Stock Sale

Earlier this week, the Innovation ETF made its first sale of Coinbase stock in nearly a year. The sold shares amounted to approximately $12 million.

Coinbase Holdings

Coinbase continues to be the top holding for the Next Generation Internet and Fintech Innovation ETFs. It also ranks as the second largest holding for the Innovation ETF.

Cryptocurrency Support

Cathie Wood, the CEO of ARK Investment Management LLC, has consistently shown her support for cryptocurrencies. With $15.1 billion in equity holdings as of June, Wood is actively working with asset manager 21Shares to launch a bitcoin ETF. Other asset managers, including BlackRock Inc., are also pursuing this endeavor.

Other Trades

Additionally, ARK ETFs made other notable trades. They purchased approximately $3.5 million worth of shares from trading app Robinhood Markets Inc. and acquired social media giant Meta Platforms Inc. shares valued at $25.4 million.

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