Cathie Wood's ARK Shifts from Grayscale to ProShares Bitcoin ETF

• ARK Invest Acquires ProShares Bitcoin Strategy ETF Shares After Divesting From Grayscale Bitcoin Trust
• ARK Invest Sells Coinbase Stock, Buys Ark 21Shares Active Bitcoin Future Strategy ETF Shares
• The Role of ProShares Exchange-Traded Fund
• Coinbase as ARK Invest's Largest Holding
• Upcoming SEC Decision on Spot Bitcoin ETFs

ARK Invest Acquires ProShares Bitcoin Strategy ETF Shares After Divesting From Grayscale Bitcoin Trust

ARK Invest recently purchased 4.3 million shares of the ProShares Bitcoin$42,260 -0.64% Strategy ETF (BITO), following the disposal of its remaining shares in the Grayscale Bitcoin Trust (GBTC). Valuation of the ProShares stake stands at $9.2 million, based on the latest closing prices.

ARK Invest Sells Coinbase Stock, Buys Ark 21Shares Active Bitcoin Future Strategy ETF Shares

In addition to the purchase, ARK Invest also liquidated $27.6 million worth of Coinbase (COIN) stock and acquired 20,000 shares of the Ark 21Shares Active Bitcoin Future Strategy ETF. This information was made available in a recent transaction notice.

The Role of ProShares Exchange-Traded Fund

Since its launch in October 2021 as the first U.S. bitcoin-linked ETF, ProShares exchange-traded fund now constitutes 5.03% of the ARK Next Generation Internet ETF (ARKW), hence becoming its sixth-largest holding. As per the most recent report on Dec. 20, the fund no longer retains any shares in GBTC.

Coinbase as ARK Invest's Largest Holding

Despite selling 148,885 shares on Wednesday, Coinbase still makes up a significant portion of ARK Invest's portfolio. Holding a weightage of just under 12%, Coinbase continues to be the fund's largest holding.

Upcoming SEC Decision on Spot Bitcoin ETFs

The recent shift in holdings precedes a forthcoming decision by the Securities and Exchange Commission (SEC). The regulatory body is expected to rule on the approval of spot bitcoin ETFs for trading in the U.S. next month. Both Grayscale and Ark 21Shares have submitted ETF applications to the regulator and are currently in discussion with the commission.

Edited by Jonathan Stoker