ARK Invest, an investment management firm, has acquired 4.3 million shares of the ProShares Bitcoin Strategy ETF (BITO), making up 5.03% of the ARK Next Generation Internet ETF (ARKW).
The estimated value of ARK Invest’s BITO stake is $92 million. To fund this, the company sold approximately $27.6 million worth of Coinbase Global shares, following a series of Coinbase sales totaling over $200 million in the past month amid a 400% surge in Coinbase’s shares this year.
These portfolio adjustments come ahead of the anticipated decision by the U.S. Securities and Exchange Commission (SEC) regarding the potential approval of spot Bitcoin ETFs. Thirteen asset management companies are awaiting SEC approval for various derivative-based products, including Bitcoin ETFs.
ARK Invest, in collaboration with 21Shares, has refiled documentation with the SEC for approval of a spot Bitcoin ETF named ARK 21Shares Bitcoin ETF, responding to the regulator’s feedback that the initial prospectus did not meet requirements to prevent fraud and market manipulation.
In a similar move, software firm MicroStrategy disclosed its purchase of approximately $615.7 million worth of Bitcoin in cash ahead of the upcoming SEC decision. ARK Invest’s recent acquisition reflects strategic moves in the evolving cryptocurrency landscape, aligning with expectations of SEC approval for Bitcoin ETFs.
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