Ark Invest Boosts Block Stake by $19.2M Amid Crypto Rally

Ark Invest, managed by CEO Cathie Wood, has increased its investment in Block Inc. (NYSE: BLOCK) by approximately $19.2 million through a combination of its three ETFs on Monday, August 12. The firm’s ARK Fintech Innovation ETF (ARKF) added 39,957 shares, the ARK Innovation ETF (ARKK) acquired 152,980 shares, and the ARK Next Generation Internet ETF (ARKW) purchased 69,526 shares. These trades were based on Block’s closing price of $73.03, the lowest since July 18 [1].

The move came after Block reported quarterly earnings of 62 cents per share, slightly underperforming the analyst estimate of 68 cents. Despite this, the company's Cash App and other financial services have shown sustained growth, attracting renewed investor interest. The purchase appears to reflect Ark Invest’s confidence in Block’s long-term potential and its role in the evolving fintech and crypto ecosystems [1].

The timing of the investment also aligns with broader market developments, particularly in the cryptocurrency sector. Bitcoin was trading near its July 14 record high of $123,321.10, though it declined slightly to $118,999.21, a 3.3% pullback. This context suggests that Ark Invest is positioning its portfolio to benefit from the ongoing narrative around digital assets and blockchain technology [1].

In a related portfolio adjustment, Ark Invest sold 69,973 shares of Shopify Inc. (SHOP) through the ARKK fund, totaling about $10.3 million. Shopify’s Q2 revenue came in at $2.68 billion, up 31% year-over-year and exceeding analyst expectations. The sale of Shopify shares seems to be a strategic rebalancing rather than a bearish signal, indicating Ark Invest’s active management of its fintech and e-commerce exposures [1].

The latest trades reinforce Ark Invest’s investment strategy, which focuses on high-growth, disruptive technology firms. The firm has been actively reshaping its portfolio in recent weeks, including the sale of $18.4 million in Shopify shares. This approach reflects a broader theme of adapting to market dynamics while maintaining a focus on innovation-driven companies [1].

In addition to its Block investment, Ark Invest has made several other strategic moves, including purchases in Personalis Inc., Compass Pathways PLC, and CRISPR Therapeutics AG, while reducing its position in Guardant Health Inc. These actions highlight the firm’s emphasis on innovation in genomics, digital health, and internet-based technologies [1].

Source: [1] Cathie Wood Bets $19 Million More On Jack Dorsey's Block Amid Bitcoin's All-Time High Push, Dumps Shopify Stock (https://www.benzinga.com/news/25/08/47048963/cathie-wood-bets-19-million-more-on-jack-dorseys-block-amid-bitcoins-all-time-high-push-dumps-shopify-stock)