Ark Invest Ditches BITO, Doubles Down on Its Own Spot Bitcoin ETF

Selling Activity

ARK Invest sold a total of 2,226,191 shares of ProShares Bitcoin Trust ETF (BITO) since January 19.

The total value of these sales amounted to approximately $42.8 million.

ARK Invest held BITO shares as a short-term play.

Previous Strategy

Late last year, the firm had sold its shares of the Grayscale Bitcoin Trust (GBTC).

This move was made in anticipation of the approval of spot bitcoin ETFs in the U.S.

Current Strategy

ARK Invest planned to swap BITO for a spot bitcoin ETF once the approval for such ETFs was granted.

Buying Activity

In contrast to selling BITO, ARK Invest has been accumulating shares in its own spot bitcoin exchange-traded fund (ETF).

Specifically, they bought 1,563,619 shares in the ARK 21 Shares Bitcoin ETF (ARKB) in the last week.

The total value of these purchases amounted to approximately $62.3 million.

Portfolio Allocation

ARKW, which is the Next Generation Internet ETF by ARK Invest, now holds $91.4 million worth of ARKB.

This represents a 5.98% weighting of ARKW’s total value.

Current Holdings in BITO

In contrast, BITO shares in ARKW now number just 366,128 with a value of $7 million.

This represents a 0.46% weighting.

Closing Prices

At the time of the report, BITO’s closing price was $19.22.

ARKB closed at $39.87, showing a slight increase of 0.68% on the day.

Strategic Decision

The decision to sell BITO and accumulate ARKB aligns with ARK Invest’s strategic anticipation and positioning in the evolving landscape of bitcoin investments and ETFs.

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