- ARK Next Generation Internet ETF sold all its remaining shares in Grayscale Bitcoin Trust due to uncertainty around its ETF conversion.
- The same day, ARK substantially increased its position in the ProShares Bitcoin Strategy ETF, which invests in bitcoin futures.
- The moves show ARK’s continued optimism on bitcoin, but also caution around regulatory uncertainty with Grayscale’s planned ETF conversion.
Cathie Wood’s ARK Next Generation Internet ETF has executed a major overhaul of its Bitcoin-related holdings. The fund sold its remaining shares in Grayscale Bitcoin Trust due to uncertainty around its conversion to an ETF, while substantially increasing its position in the ProShares Bitcoin Strategy ETF.
Grayscale Bitcoin Trust Sale
On Wednesday, the ARK Next Generation Internet ETF sold all 225 million of its remaining shares in Grayscale Bitcoin Trust, according to Bloomberg data.
ProShares Bitcoin Strategy ETF Purchase
The same day, the fund purchased 432 million shares of ProShares Bitcoin Strategy ETF, which invests in bitcoin futures. This makes ARK the second-biggest holder of the ProShares ETF, according to the firm’s daily trading data.
Conclusion
The moves demonstrate ARK’s continued optimism on bitcoin, while also showing caution around regulatory uncertainty with Grayscale’s ETF conversion. ARK has pivoted to gain bitcoin exposure through an ETF investing in bitcoin futures rather than the Grayscale Trust.
