KANALCOIN NEWS – Under Cathie Wood’s leadership, ARK invest is again making waves and making headlines. On January 3, the investment firm offloaded $25 million worth of Coinbase (COIN). This comes amid a 3% drop in shares to $152.24. since December 2023, the company has undergone major and significant changes to its investment strategy. By divesting more than $125 million in shares from crypto exchanges.
Trying to Surpass Coinbase
The American-based asset management company announced the acquisition of 105,201 shares of Tesla (TSLA), valued at nearly $25.3 million. This purchase was distributed across the ARK Innovation ETF (ARKK) for 91,194 Tesla shares, and the ARK Next Generation Internet ETF (ARKW) added 14,007 TSLA shares to its holdings.
Even though this buying and selling continues to occur, Coinbase is still a priority, representing more than $145 million in assets as of January 4.
ARK’s achievements don’t stop here. On January 5, ARK offloaded 237,572 Coinbase shares raising $33 million. This significant sell-off occurred in the ARK Innovation ETF, ARK Fintech Innovation ETF, and ARK Next Generation Internet ETF.
But that’s not the only surprise. ARK liquidated its entire $200 million Grayscale Bitcoin Trust holdings on December 28. This could be a shift of around $100 million of those holdings to the Bitcoin Futures ETF. A decision that is too bold in the volatile crypto world.
Unique Puzzles
Coinbase has been embroiled in a legal dispute with the Securities and Exchange Commission (SEC), accused of operating as an exchange, broker-dealer and clearing house without proper registration. However, this legal problem did not deter Coinbase at all. Company spokespeople confidently stated their readiness for ETF approval and the robustness of their product offering.
Coinbase in collaboration with Swiss crypto custodian 21Shares, has launched the ARK 21Shares Bitcoin ETF. This proposed exchange-traded fund is part of a series of applications by various entities seeking approval for spot Bitcoin ETFs.
The SEC has until January 10 to decide on ARK’s application, after previously rejecting a similar proposal in 2023.
Cathie Wood and her team continue to navigate the unpredictable world of finance with an eye for opportunity and a readiness to take bold steps. Because this ARK activity could be proof of its dynamic. Even though the long-term results are not yet known, ARK still dares to make quite risky market breakthroughs.
This bold decision is not the first time. It was noted that at the initial launch of Bitcoin ETF Futures, ARK Invest purchased 1.3 million shares of ProShares ETF and 275,000 shares of Valkyrie ETF. With total purchases worth $53 million.
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