ARK Invest, the technology-focused asset management firm, made significant investments in crypto-related stocks during the recent market downturn. Over the last three trading sessions, the company allocated a total of $43.5 million to shares of Coinbase, Circle, Bullish, Robinhood, and SoFi Technologies.
Breakdown of ARK’s purchases
According to data from ARK Invest, the company acquired 122,544 shares of Coinbase since Thursday, in a deal valued at approximately $18.6 million. During the same period, ARK purchased 169,777 shares of Circle, amounting to about $12.9 million.
The firm also invested roughly $5.2 million in shares of the crypto exchange Bullish. Additionally, ARK allocated $5.12 million into Robinhood stock and invested $1.69 million in SoFi Technologies, known for its close ties to the digital asset sector. Robinhood has recently gained attention for its moves in the tokenization space, a process by which real-world assets or financial instruments are converted into digital tokens on blockchain networks.
Glossary: Tokenization refers to the creation of digital representations of assets like shares, bonds, fund units, or real estate on a blockchain. This approach can enable faster trading and expand access by allowing assets to be divided into smaller, more easily tradable units.
| Company | Code | Purchase Amount |
|---|---|---|
| Coinbase | COIN | $18.6 million |
| Circle | CRCL | $12.9 million |
| Bullish | BLSH | $5.2 million |
| Robinhood | HOOD | $5.12 million |
| SoFi Technologies | SOFI | $1.69 million |
Positioning amid the market drop
These purchases come at a time when investors have been cautious toward crypto-linked equities. Over the last month, Circle stock fell 27.6%, Coinbase lost 16.9%, and Bullish dropped 26.3% in value.
By buying into crypto-connected stocks during a downturn over the last three sessions, ARK Invest notably increased its holdings in Coinbase and Circle.
During the same period, Bitcoin itself slid sharply, dropping to $58,190 and approaching its lowest levels in two years. Meanwhile, expectations have softened regarding the passage of the U.S. CLARITY Act ahead of the midterm elections this November.
Impact on ARK’s funds
Most of the newly purchased shares have been added to ARK Invest’s flagship ARK Innovation ETF, followed by the ARK Next Generation Internet ETF. The ARK Blockchain & Fintech Innovation ETF, which focuses on crypto and financial technology, also strengthened its portfolio with additional buys. Founded by Cathie Wood, ARK Invest is known for its investments centered on disruptive technology themes.
Beyond the crypto sector, ARK Invest also increased its positions in SpaceX and Palantir shares over the last three days, while reducing stakes in Alibaba, Roku, Strata Critical Medical, and several other companies.
