Ark Invest Buys $13.3M Coinbase Shares During Sell-Off

Ark Invest, led by Cathie Wood, made a significant move by purchasing $13.3 million worth of Coinbase (COIN) stock across its ARKK, ARKW, and ARKF exchange-traded funds (ETFs) during a market sell-off on Friday. This strategic acquisition consisted of approximately 84,514 shares, distributed across the three ETFs. The ARK Innovation ETF (ARKK) bought 54,988 shares, worth about $8.8 million, the ARK Next Generation Internet ETF (ARKW) purchased 15,982 shares worth about $2.5 million, and the ARK Fintech Innovation ETF (ARKF) acquired 12,187 shares worth about $2 million.

These purchases significantly increased Coinbase’s weight in Ark’s portfolio. COIN now represents about 7.5 percent of ARKK ($342 million stake) and has become the second-largest holding in ARKF at 9.4 percent, just behind Shopify (13%). Ark’s internal strategy typically caps single stock positions near 10%, meaning COIN is approaching that threshold in ARKF. The ETFs also adjusted other holdings, buying shares of Amazon, totaling $7.8 million, and reducing positions in automation software company UiPath.

Ark’s decision to buy more COIN comes as the stock faces pressure. Coinbase shares slid over 12 percent during the recent market downturn, briefly pushing the company’s valuation below $30 billion for the first time since September 2024. This isn’t Ark’s first dip buy; they’d purchased over $16 million worth of COIN in March following earlier price declines.

In recent commentary, Cathie Wood reiterated her long-term bullish view on Bitcoin versus gold, stating Bitcoin’s uptrend against the precious metal remains intact despite weaker performance in 2025. She also expressed continued support for Ethereum and Solana. However, Wood issued a stark warning about the memecoin market, estimating millions of such tokens could eventually lose all value. Ark’s COIN buying reflects conviction in core crypto infrastructure, contrasted with caution towards speculative meme assets.

Ark Invest's move to increase its stake in Coinbase during a market sell-off underscores the firm's confidence in the company's long-term prospects. This investment not only bolsters Ark Invest's portfolio but also highlights Wood's investment philosophy of capitalizing on market downturns to acquire high-potential assets. The purchase of Coinbase shares by Ark Invest also reflects the firm's broader investment strategy, which includes adding to existing positions in other high-growth companies. This diversified approach allows Ark Invest to mitigate risks while capitalizing on opportunities across various sectors.