ARK Invest Buys and Sells Bitcoin-Linked ETF Shares Worth Millions

ARK Invest Buys and Sells Bitcoin-Linked ETF Shares Worth Millions

Crypto News – In a recent financial move, ARK Invest made noteworthy transactions involving Bitcoin-linked Exchange-Traded Funds (ETFs), indicating the investment firm’s strategic positioning in the cryptocurrency market.

On one hand, ARK Invest acquired shares worth $15.9 million in its newly-listed spot Bitcoin ETF. The investment firm, under the guidance of Cathie Wood, added 365,427 shares of the ARK 21Shares Bitcoin ETF (ARKB) to its Next Generation Internet ETF (ARKW). Notably, ARKB shares experienced a decline of approximately 11% from their initial listing price of $49 on January 11, closing at $43.51 on the recent trading day.

On the other hand, ARK also made a significant sale of shares, amounting to $15.8 million, in the ProShares Bitcoin Strategy ETF (BITO). BITO holds the distinction of being the first ETF linked to the Bitcoin futures market to be listed in the United States.

This strategic move comes after ARK Invest divested its holdings in the Grayscale Bitcoin Trust (GBTC) in December. The timing of this divestment proved crucial as GBTC subsequently converted into a Bitcoin ETF. ARK Invest executed a swap of its GBTC shares for BITO shares in anticipation of the approval of spot Bitcoin ETFs in the U.S. Cathie Wood emphasized that an already approved fund provided greater security than waiting for regulatory approval.

Market observers have been anticipating that ARK Invest would execute further swaps, potentially exchanging some of its BITO shares for a spot Bitcoin ETF shortly after regulatory approval.