The ARK Next Generation Internet ETF underwent a significant shift in its Bitcoin-related investments recently. On Wednesday, it sold its remaining 2.25 million shares of the Grayscale Bitcoin Trust, as per Bloomberg’s data. Simultaneously, it made a substantial purchase of 4.32 million shares of the ProShares Bitcoin Strategy ETF, becoming one of the fund’s top investors, according to daily data from Ark Investment Management LLC.
Cathie Wood, known for her strategic moves, has been gradually reducing her stake in the Grayscale Bitcoin Trust despite its previous standing as the primary holding of the ARK Next Generation Internet ETF. This strategic adjustment took place despite Bitcoin surging to its highest value since April 2022. The cryptocurrency has seen remarkable growth in 2023, doubling in value, largely driven by year-end speculation regarding potential early approval of spot Bitcoin ETFs by the US Securities and Exchange Commission.
During the Sohn Australia conference last month, Wood had endorsed the Grayscale Bitcoin Trust as her top choice.
In addition to these moves, the ARK ETF also acquired 20,000 shares of the ARK 21Shares Active Bitcoin Futures Strategy ETF while divesting 148,885 shares of the crypto exchange Coinbase Global Inc., as reported by the fund.
Although the ARK Next Generation Internet ETF has soared by 103% this year, outpacing the 55% gain in the Nasdaq 100 Index, its journey has been marked by volatility. The fund experienced declines of 19% and 67% in 2021 and 2022, respectively.
