Ark Invest, led by Cathie Wood, executed a significant portfolio rotation on Wednesday, acquiring $18.4 million worth of Coinbase Global shares while divesting $29 million in Robinhood stock across its exchange-traded funds. The purchases included 111,799 Coinbase shares spread across the Innovation ETF (ARKK), Next Generation Internet ETF (ARKW), and Blockchain and Fintech Innovation ETF (ARKF), based on Coinbase’s closing price of $164.92. Additionally, ARKK bought 236,759 shares of Block Inc. (formerly Square) valued at approximately $17.2 million, while selling 275,572 Robinhood shares.
The moves came as Coinbase and Robinhood made contrasting announcements. Coinbase revealed the launch of tokenized U.S. equities and a system update with an AI-powered advisor and unified global liquidity, leading Benchmark Equity Research to reiterate a Buy rating. Robinhood, on the other hand, announced a 10% reduction in its full-time workforce, aiming for a leaner operating model. Earlier, Bernstein analysts noted record prediction market volumes during the World Cup could benefit Robinhood, yet Ark’s sale suggests a shifting preference toward crypto-native infrastructure.
Coinbase stock fell 2.57% on the day, extending its one-month decline to 12.95%, while Robinhood shares surged 8.78% to $105.20 despite the sale. Robinhood remains ARKK’s fourth-largest holding at a 4.87% weighting ($339.6 million), and Coinbase is now the eighth-largest at 3.71% ($258.6 million). The realignment highlights institutional investors’ evolving strategies in the crypto-finance landscape.
