Cathie Wood’s Ark Invest has purchased $18.4 million worth of Coinbase shares across three ETFs, even as the crypto exchange’s stock has fallen nearly 13% over the past month.
Summary
- Ark Invest bought $18.4 million worth of Coinbase shares across three ETFs as the crypto exchange’s stock remained under pressure.
- Coinbase recently unveiled tokenized stocks, an AI powered advisor, and a unified liquidity system spanning its U.S. and international markets.
- Ark also added $17.2 million in Block shares while trimming nearly $29 million worth of Robinhood holdings.
According to Ark Invest’s Wednesday trading disclosure, the investment firm acquired 111,799 Coinbase Global shares for its ARK Innovation ETF (ARKK), ARK Next Generation Internet ETF (ARKW), and ARK Fintech Innovation ETF (ARKF). Based on Coinbase’s closing price of $164.92 on Wednesday, the purchases were worth about $18.4 million.
Elsewhere in the same round of portfolio adjustments, ARKK bought 236,759 shares of Block Inc., valued at roughly $17.2 million, while selling 275,572 shares of Robinhood Markets worth nearly $29 million.
Coinbase shares ended Wednesday down 2.57%, extending their one-month decline to 12.95%. Block also finished lower, slipping 2.46% to $72.84. Robinhood moved in the opposite direction, rising 8.78% to close at $105.20.
Despite the sale, Robinhood remains one of ARKK’s largest positions. Ark’s latest holdings data shows the brokerage platform accounts for 4.87% of the fund, representing about $339.6 million. Coinbase ranks eighth in the portfolio with a 3.71% weighting, equal to approximately $258.6 million.
Coinbase expands product lineup
Recent purchases come days after Coinbase unveiled several new products and platform upgrades.
On Tuesday, the company announced plans to introduce tokenized stocks, allowing users to buy, hold, and trade blockchain-based versions of U.S. equities. Coinbase also revealed an AI-powered advisor and a unified liquidity system connecting its U.S. and international spot crypto and derivatives markets.
Following those announcements, Benchmark Equity Research reiterated its Buy rating on Coinbase. The research firm said the latest product rollout showed the company is building beyond its traditional crypto trading business and strengthening its position in financial and onchain infrastructure.
The Coinbase investment comes a few weeks after Ark added another crypto-focused exchange operator to its funds amid stock weakness.
In May, Ark purchased about $4.4 million worth of Bullish shares across multiple ETFs after the exchange’s stock declined for five consecutive trading sessions. Market disclosures at the time showed Ark acquired more than 122,000 Bullish shares over two days as the stock recovered modestly from a sharp monthly decline.
Bullish had reported mixed first-quarter results before those purchases. The company posted a net loss of $604.9 million, compared with a $348.6 million loss a year earlier, while adjusted revenue increased to $92.8 million from $62.4 million. Quarterly digital asset sales reached $51.8 billion, and options trading volume totaled $11.6 billion.
At the time, Bullish CEO Tom Farley linked the company’s long-term plans to its proposed $4.2 billion acquisition of Equiniti, stating that the combination would provide the pieces needed to build infrastructure for tokenized securities at institutional scale.
Robinhood gains as prediction markets draw attention
While Ark reduced its Robinhood position, recent developments have continued to support interest in the brokerage platform.
Earlier this week, Robinhood announced a 10% reduction in its full-time workforce as the company moves toward what it described as a leaner and more performance-focused operating model.
Separate commentary from Bernstein analysts on Monday highlighted prediction markets as a potential growth driver for Robinhood. Bernstein highlighted Robinhood’s daily prediction market turnover, which had climbed from $2.2 billion on June 11 to $4.8 billion on June 12 on the back of World Cup-related activity, creating what the firm described as strong tailwinds for the platform.
