- Cathie Wood’s Ark Invest, a major investor in Coinbase, sold 248,838 more shares of the cryptocurrency exchange on Monday.
- Is this a sign that Ark Invest is losing faith in Coinbase?
Ark Invest sold a total of 248,838 shares of Coinbase on Monday, worth $26.3 million. The sales were made by Ark’s flagship fund, Ark Innovation ETF (ARKK), as well as its Ark Next Generation Internet ETF (ARKW) and Ark Fintech Innovation ETF (ARKF).
This sale comes after the investment firm recently sold 480,000 COIN shares, worth $50.5 million on July 14th as the stock surged off the back of a ruling in the Ripple case.
Speaking with Bloomberg Daybreak Asia, Cathie Wood stated that the fund manager is “simply taking profits and reallocating the capital to some laggards” and that it is still “very positive about Coinbase, especially in light of the court ruling for Ripple against the SEC (Securities and Exchange Commission).”
Wood also revealed that ARK Invest has written down its stake in Twitter by 47% since Elon Musk took the company private last year.
What does this mean for Coinbase?
The sale of more shares by Ark Invest is not necessarily a bad sign for Coinbase. The investment firm remains a significant shareholder in the company with more than a 6% stake and it still believes in the long-term prospects of the cryptocurrency exchange.
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