ARK Invest Purchases 129K Shares of Coinbase

ARK is said to have bought 129,604 bitcoins from Coinbase for its ARK Innovation exchange traded fund (ETF) on May 1.

As per the recent news, Cathie Wood’s company, ARK Invest, marked International Workers’ Day by investing in crypto exchange Coinbase. 

ARK Purchases Coinbase Shares

ARK is said to have bought 129,604 bitcoins from Coinbase for its ARK Innovation exchange traded fund (ETF) on May 1.

In addition, the investment firm purchased 23,456 Coinbase shares for its ARK Next Generation Internet ETF and 15,809 for its Fintech Innovation ETF. The total acquisition price amounted to approximately $8.5 million for 168,869 Coinbase shares.

300K Shares in April

The transaction accounts for approximately half of the entire Coinbase shares purchased by ARK in the past thirty days. The firm acquired 304,300 shares for $17.5 million in April. ARK previously purchased 2.4 million shares in March for around $117 million.

ARK’s new acquisitions came as Coinbase’s price continued to fall. Coinbase shares fell 6.8% on Monday on reports of a freshly filed class-action lawsuit claiming the trading platform breached privacy laws. 

SEC’s Action Against Coinbase

The recent dramatic drop in Coinbase’s share price coincided with the Securities and Exchange Commission’s (SEC) continuing investigation into Coinbase. 

On March 22, the Securities and Exchange Commission sent a Wells notice to Coinbase, warning that the trading platform could face enforcement action.

ARK’s Relation With Coinbase 

Ark set out on a purchasing binge, amassing over $18 million in shares across two of its Exchange Traded Funds (ETFs). It reportedly has 353,000 shares spread over two funds. In February, the business acquired up to 213,519 shares across the same funds.

Back in March, Wood expressed her thoughts on the recent rise in the price of Bitcoin in the midst of the US financial crisis. 

In July 2022, Wood, who is widely regarded as an outspoken advocate of the American cryptocurrency exchange Coinbase Global, began to show dissatisfaction with the latter. 

A total of $1.4 million worth of Cathie Wood’s Coinbase shares were sold during that period. While COIN was sold across both funds, the majority of the shares offloaded were from the Ark Innovation ETF.