Due to Coinbase’s COIN 8% decline on Thursday, Cathie Wood’s investment manager, ARK Invest, acquired most of the stock since the beginning of 2023.
ARK bought 301,437 Coinbase shares ($17.5 million) on March 9 for its ARK Innovation exchange-traded fund, ARKK. Also, the business acquired 52,525 Coinbase shares worth $3 million for its ARK Next Generation Internet ETF, better known as ARKW.
The most recent acquisitions made by ARK represent the biggest single Coinbase stock transaction in 2023, accounting for about 30 percent of all Coinbase stock purchases in 2023.
The figure greatly surpasses ARK’s January total Coinbase stock purchases of almost $13 million.
In February, Wood’s investment business acquired $42 million worth of Coinbase shares.
With Coinbase, ARK has been aggressively purchasing Robinhood shares.
The business acquired an additional 265,566 Robinhood shares ($2.5 million) for its ARKK fund on March 9.
The acquisition occurred soon after ARK purchased comparable quantities of Robinhood shares on March 8 and 6, when it acquired 268,086 ($2.5 million) and 219,884 ($2.1 million), respectively.
Since ARKK’s price has plummeted by 76% since its all-time high in February 2021, reports indicate that ARK has earned more than 70% of its $310 million fees.
In 2023, ARK averaged approximately $230,000 in daily fees as the fund’s value recovered slightly, rising from around $30 in early January to $37.3 by mid-March.
The new Coinbase stock purchase reinforces the company’s optimistic outlook on the cryptocurrency industry and Bitcoin.
Focused on technological innovations such as self-driving cars and genomics, ARK Invest founder Wood is one of the world’s largest crypto bulls, predicting that Bitcoin will surpass $1 million shortly due to its promising potential as a risky asset.
The most recent bullish investments occurred despite the crypto market experiencing another wave of panic due to the Silvergate crypto bank’s decision to cease operations and liquidate.
On March 10, bitcoin fell below $20,000 for the first time since early January.