ARK Invest Nears $200M in December Coinbase Share Sales

• ARK Invest Continues Sale of Coinbase Stock Amid Rally
• Details of the Sale
• Maintaining Balance in Portfolio
• Additional Investment Moves
• Bitcoin's Performance

ARK Invest Continues Sale of Coinbase Stock Amid Rally

ARK Invest, the investment firm led by Cathie Wood, has continued its trend of selling Coinbase (COIN) stock. On Wednesday, the total sale for December reached a staggering $196.8 million, amidst a rally that saw the shares increase by nearly 30% since the end of November.

Details of the Sale

The ARK Innovation exchange-traded fund (ARKK) sold 132,782 shares, while the ARK Next Generation Internet ETF (ARKW) let go of 16,998 shares. The total worth of these shares stood at $24 million based on Wednesday's closing price.

Maintaining Balance in Portfolio

Often, ARK Invest reduces its holdings of Coinbase shares when the prices rise. The firm has a policy of limiting exposure to individual companies to around 10% of its total holdings. Currently, COIN's presence in the firm's portfolio exceeds this level in both ARKK and ARKW funds.

Additional Investment Moves

In addition to the sale of Coinbase shares, ARKW also reduced its stake in the Grayscale Bitcoin$42,260 -0.64% Trust (GBTC), offloading 398,383 shares. Concurrently, the firm increased its holdings of Block (SQ) by 158,334 shares. Block, which supports cryptocurrency payments through its Cash App, recently announced a new self-custody bitcoin wallet.

Bitcoin's Performance

The sale of GBTC shares took place as the discount to its net asset value marginally widened by 0.33 percentage points on Wednesday to 7.9%. Despite this, it is still significantly below the 12.5% level seen earlier this month and remains close to the narrowest gap since August 2021, according to Ycharts data. Simultaneously, Bitcoin experienced a rally of 3.3%, crossing the $44,000 mark for the first time in 10 days, according to Indices data.

Edited by Jonathan Stoker