According to CEO Cathie Wood, Ark Investment sold a portion of its ownership in Coinbase Global in late July. This was in response to news that the SEC was investigating the crypto exchange to determine whether specific listings could be viewed as securities.
The ETF manager mentioned a slight “thesis risk” increase in Coinbase and dumped 1.1 million shares of Coinbase on a volatile trading day.
The fund continues to remain bullish on crypto and still owns nearly 4.9 million shares of Coinbase.
In a note to clients on Monday, Ark analyst Yassine Elmandjra said, “BlackRock’s decision to partner with Coinbase is a strong signal that institutions consider crypto – starting with bitcoin [BTC] – a new asset class. We agree that bitcoin has earned an allocation into well diversified portfolios.”
