Ark Invest sells another 20 million Dollars worth of Coinbase shares, adds OpenAI to Venture Fund

Crypto News– On Thursday, Ark Invest sold 77,561 Coinbase shares totaling $20.4 million across two of its exchange-traded funds. The investment firm, led by Cathie Wood, divested 63,627 shares ($16.7 million) from its Innovation ETF (ARKK) and 13,934 shares ($3.7 million) from its Next Generation Internet ETF (ARKW), according to its latest trade filing.

Ark Invest sells another 20 million Dollars worth of Coinbase shares, adds OpenAI to Venture Fund

Ark’s investment strategy aims to maintain diversification within its funds by ensuring no individual holding exceeds 10% of an ETF’s portfolio. Hence, it is likely to continue rebalancing its weightings if Coinbase’s stock price continues to outpace other holdings.

Coinbase is currently the second-largest holding in both ARKK and ARKW, with weightings of 9.7% and 9.9% respectively, trailing behind Tesla in ARKK and Ark’s own Bitcoin ETF (ARKB) in ARKW.

The market value of Coinbase holdings in ARKK stands at $696 million, while in ARKW, it’s valued at $169 million at current prices. Over the past year, ARKK and ARKW have seen gains of 24% and 55% respectively.

Coinbase’s stock closed at $263.01 on Thursday, up nearly 5% for the day and over 7% for the week, according to TradingView. Year-to-date, the stock has surged 52% and is approaching its prior all-time high set in November 2021.

Ark Invest Adds OpenAI to its Venture Fund Portfolio

The Ark Venture Fund, a private fund separate from the firm’s publicly traded ETFs, confirmed its investment in OpenAI for the first time on April 10. OpenAI’s CEO, Sam Altman, is also a co-founder of the eye-scanning proof-of-personhood crypto project Worldcoin.

OpenAI is at the forefront of a Cambrian explosion in artificial intelligence capability, having produced several of the most influential breakthroughs in foundational AI research, including both the GPT and DALLE series of models, and launching the first major consumer application of generative AI, ChatGPT, which is the fastest application in history to grow to 100 million active users.

Sam Altman