Cathie Wood’s ARK Invest buys $40.8M in crypto stocks

Cathie Wood’s ARK Invest added Block and Circle shares to three of its funds during the final trading session of August.

The purchases were worth about $40.8 million at Monday’s closing prices, and most of it was for Block, the payments company behind Cash App.

Block accounts for most of ARK’s purchase

ARK bought 456,059 Block shares across its Innovation, Next Generation Internet, and Blockchain and Fintech Innovation exchange-traded funds [ETFs].

The price of Block shares closed at $82.02 on August 31, meaning the shares’ value was around $37.4 million, but the price fell 1.85% during the session.

The dollar figure does not necessarily represent what ARK paid, but its daily trade disclosure shows the number of shares bought, while the estimated value uses the closing price.

ARK’s exposure in the case of Block is because Block operates a broader payment system that gives it exposure to Bitcoin, while also holding Bitcoin on its balance sheets.

ARK adds Circle as CRCL rallies

ARK also bought 35,192 Circle shares. Circle issues USDC, and it is the second-largest dollar-backed stablecoin.

CRCL price closed with a 9.65% increase at $95.55, making the share bought by ARK worth about $3.36 million.

The CRCL shares added were smaller than the Block purchase, and it also means ARK added CRCL during a rally instead following a fall in the stock price.

A look at ARK’s trades showed that it reduced several technology holdings. It sold 139,456 Palantir shares and 8,623 AMD shares across its funds.

But these trades only show money moving between holdings, but they do not explain the reasoning behind ARK’s moves or prove a wider shift away from artificial intelligence stocks.

Final Summary

ARK bought 456,059 Block shares and 35,192 Circle shares on 31 August.

The combined $40.8 million value is an estimate based on each stock’s closing price.