ARK Invest Bets Big on Regulated Crypto Infrastructure with Bullish Expansion

ARK Invest, the investment firm led by Cathie Wood, has significantly increased its stake in Bullish, the digital asset exchange that debuted on the New York Stock Exchange (NYSE) earlier this year. According to trade disclosures, the firm's ARK Innovation ETF (ARKK), ARK Next Generation Internet ETF (ARKW), and ARK Fintech Innovation ETF (ARKF) collectively purchased $11.98 million in Bullish shares on Monday, with ARKK acquiring 164,214 shares, ARKW 49,056 shares, and ARKF 25,076 shares, according to a TradingView report. This brings ARK's total holdings in Bullish to approximately 2.27 million shares, valued at $114 million at Friday's closing price of $50.57 per share, according to a CoinDesk report.

The move underscores ARK's continued commitment to digital asset infrastructure, a sector it has prioritized since Bullish's $1.1 billion initial public offering (IPO) in August. Since the NYSE listing, ARK has accumulated roughly $172 million in Bullish shares across its funds, as reported by CryptoIntelligence. The latest purchases follow an earlier $8.27 million investment in mid-October, per a Lookonchain report, further cementing ARK's position in the exchange. Bullish now constitutes 0.97% of ARKK, 0.98% of ARKW, and 1.18% of ARKF.

Bullish's stock has shown resilience despite broader market volatility. On Friday, shares closed at $50.57, a 1.24% increase, recovering from recent declines. The exchange, backed by Block.one and led by former NYSE president Tom Farley, has positioned itself as a leader in regulated crypto trading. Its U.S. expansion, which began in early October after securing a BitLicense and money transmission license from New York regulators, has been a key growth driver. The platform now operates in 20 U.S. states and has partnered with firms like BitGo and Nonco for spot trading, according to a Markets article.

Bullish's global trading volume has surpassed $1.5 trillion since its 2021 launch, placing it among the top 10 exchanges for Bitcoin and Ether transactions, according to a Coinotag report. The firm's U.S. debut was celebrated with an event in New York, where industry leaders highlighted its potential to bridge traditional finance and digital assets. "The energy in the room said it all - the future is Bullish," the company tweeted following the event.

ARK's growing exposure to Bullish aligns with its broader strategy of allocating capital to disruptive fintech and blockchain companies. The firm's combined crypto-related holdings now exceed $2.15 billion across its three flagship ETFs, with Bullish representing a key component of this portfolio, as previously reported. To accommodate these investments, ARK has reduced positions in traditional tech stocks like Palantir and Shopify, according to a Yahoo Finance report.

The exchange's regulatory achievements, including its New York approvals, have attracted institutional interest and reinforced its credibility in a sector historically plagued by compliance challenges. Analysts note that Bullish's emphasis on institutional-grade security and liquidity, coupled with its leadership's Wall Street expertise, positions it to capture market share as demand for regulated crypto services grows.