Ethereum News Today: Ark Invest Sheds Coinbase Stake Adds $35.3M in BitMine Amid Ethereum Surge

Ark Invest, a prominent investment firm led by Cathie Wood, has executed a notable shift in its portfolio by reducing its stake in Coinbase (COIN) and significantly increasing its position in BitMine (BMNR) in July 2025. The firm sold over 218,986 shares of Coinbase across multiple funds, including the ARK Innovation ETF (ARKK), ARK Next Generation Internet ETF (ARKW), and ARK Frontier Tech ETF (ARKF). This divestment reflects a strategic realignment amid evolving regulatory landscapes and market volatility affecting the cryptocurrency sector [1].

Simultaneously, Ark Invest added $35.3 million worth of BitMine shares, reinforcing its bullish stance on Ethereum-related infrastructure. The firm’s increased exposure to BitMine aligns with Ethereum’s 50% surge in July—the best monthly performance in three years—highlighting Ark Invest’s focus on the underlying blockchain technology rather than direct crypto asset exposure [3]. This strategic pivot underscores a broader trend of institutional investors shifting from crypto exchanges to companies providing the infrastructure that supports digital assets [5].

The decision to reduce Coinbase holdings coincided with a 16% decline in the stock following the company’s disappointing Q2 earnings report. Despite broader optimism in the crypto space, Coinbase’s performance has lagged, prompting Ark Invest to scale back its exposure to more volatile assets. The firm’s recent actions suggest a preference for capital-efficient and scalable ventures within the blockchain ecosystem [8].

Market reactions to Ark Invest’s repositioning were swift, with increased trading volumes observed in both Coinbase and BitMine. This activity underscores the firm’s influence in shaping short-term and long-term market dynamics. Cathie Wood emphasized that the shift is part of a broader strategy to capitalize on recent price rallies in Coinbase while reinvesting into emerging Ethereum-focused companies [1].

The broader implications of this realignment could signal a shift in investor sentiment towards more tangible blockchain infrastructure. Ark Invest’s increased stake in BitMine, coupled with its recent purchases in Figma and other digital innovation platforms, highlights a diversified approach to tech and crypto infrastructure [2]. The firm’s strategic repositioning reflects confidence in the long-term trajectory of Ethereum-based operations while maintaining flexibility in a rapidly changing market.

Sources:

[1] Cathie Wood's ARK ETFs shuffle RBLX, COIN, and BMNR — https://www.investing.com/news/company-news/cathie-woods-ark-etfs-shuffle-rblx-coin-and-bmnr-stocks-93CH-4166810

[2] Crypto Isn't Enough? Coinbase Turns To Tokenized Stocks — https://stocktwits.com/news-articles/markets/equity/crypto-isn-t-enough-coinbase-turns-to-tokenized-stocks-following-q2-letdown-retail-opts-caution-for-now/chr3AdeRdGv

[3] Cathie Wood's ARKK Surges 54% in 3 Months — https://www.newsbreak.com/tradingkey-331884976/4147****15367-cathie-wood-s-arkk-surges-54-in-3-months-is-crypto-the-main-investment-theme-of-2025

[5] Coinbase Stock Falls as Q2 Earnings Miss Estimates Despite — https://www.tokenpost.com/news/business/16531

[8] Coinbase Global (NASDAQ:COIN) Earns "Buy" Rating from — https://www.marketbeat.com/instant-alerts/coinbase-global-nasdaqcoin-earns-buy-rating-from-rosenblatt-securities-2025-08-01/