ARK Invest, the prominent asset management firm led by Bitcoin advocate Cathie Wood, has made a significant strategic shift in its cryptocurrency-related investment portfolio. Signaling a change in approach, the firm has moved from consistently acquiring Coinbase shares to divesting them, redirecting capital towards another institutional digital asset platform amidst notable market volatility.
ARK Invest's Pivotal Shift from Coinbase
ARK Invest has recently signaled a major strategic pivot, moving from being a steadfast buyer to a seller of Coinbase (COIN) shares. This notable shift saw the firm divest approximately 119,236 COIN shares, valued at around $17.4 million, marking its first such sale in 2026 and since August 2025. The decision comes amidst a challenging period for Coinbase, with its stock experiencing a sharp decline, including a 13% drop that hit multi-month lows and a 37% year-to-date slump. This divestment also occurred during a broader downturn in the cryptocurrency market, with Bitcoin falling below $70,000, underscoring a reactive strategy to market conditions and COIN's underperformance since its IPO.
Embracing Bullish Amidst Volatility
Concurrently with the Coinbase divestment, ARK Invest channeled a nearly identical sum – approximately $17.8 million – into acquiring 716,030 shares of Bullish (BLSH). Bullish is an institutional-focused digital asset platform that has been listed on the New York Stock Exchange since August 2025, with ARK previously being a major buyer in its initial public offering. This strategic reallocation highlights ARK's continued commitment to the digital asset space, albeit with a redirection of capital, even as Bullish's shares have also seen significant declines, falling over 60% since its listing. Despite the recent sales, ARK maintains a substantial stake in Coinbase, holding $312 million worth of shares across its three prominent ETFs, underscoring a nuanced approach to its portfolio management in a highly volatile market.
