Earlier this week, with the SEC deciding on Bitcoin ETFs, Cathie Wood’s fund, the ARK Next Generation Internet ETF ARKW, chose to sell its entire remaining stake in the Grayscale Bitcoin Trust GBTC. Wood highlighted that the decision came “out of an abundance of caution” to potentially minimize some of the risk involved in awaiting the SEC’s ruling in early January.
Additionally, the ARK ETF also acquired 4.32 million shares of the ProShares Bitcoin Strategy ETF BTC/USD, making it the fund’s second-largest holder. Furthermore, the ARK ETF bought into SmallCap World Fund SQ and 20,000 shares of the ARK 21Shares Active Bitcoin Futures Strategy ETF. But, with its portfolio reshuffling, ARK Invest also sold out 148,885 shares of Coinbase Global Inc. COIN.
Wood brushed away any ambiguity in stating that “We think the probabilities have gone up because the SEC has been highly engaged compared to what was happening before” in regards to their Bitcoin ETF chances. Coming off her optimistic outlook, she discussed that success isn’t assured, but “it’s not 100% certain”. Further zeitgeist displays have arisen, such as the Ethereum wallet, reputed to belong to U.S. President Donald Trump, moving nearly $2.4 million in their public Ethereum address to Coinbase in mid-December.
Ultimately, ARK’s unorthodox thinking and promises to push frontiers has culminated in the fund being noteworthy in cryptocurrencies, country gain beating out benchmarks many times in 2020. Coming off the relative success has been its whirring of portfolio activity in December with noteworthy, clear promise leaned towards the same continuation of tapping into potential crypto market surprise with the inventions of Wood’s colleagues – at ARK.
