Ark Invest Injects $100M into Bitcoin ETF after GBTC Dump

• Ark Invest has invested millions in ProShares Bitcoin ETF.
• The crypto industry is anticipating a Bitcoin ETF approval in the coming year.
• CEO Cathie Wood is optimistic about a positive outcome.

Bitcoin ETFs have become all the buzz among investors, and the anticipation of potential approval in the coming year is amplifying excitement.  Nearly 13 hopefuls await a green light from the SEC as the commission’s January 10, 2024 deadline draws on.

Ark Invest, the investment management firm first in line for a verdict, is making strategic moves in preparation for a potential approval.

Ark Invest Completes GBTC Sales, Buys ProShares ETF

On Thursday, December 28, Ark Invest’s trade filing revealed the acquisition of nearly $100 million worth of ProShares Bitcoin Strategy ETF (BITO), solidifying its position as the second-largest holder of the shares.

The purchase followed the complete divestment of Ark’s Grayscale’s $GBTC holdings, a once-prominent asset in its portfolio.

Ark’s decision marks part of a deliberate effort to bolster the assets under management (AUM) of its 21Shares ETF to enhance performance and appeal ahead of the imminent SEC verdict.

Ark Invest further sold 148,885 Coinbase shares, valued at $27.58 million, extending the firm’s month-long COIN sales streak .

Ark Invest’s efforts signal the firm’s optimism that it will get the nod on its Bitcoin ETF proposal on January 10.

Cathie Wood Confident in the SEC

Despite the SEC’s unpredictable nature and stringent approach to Bitcoin ETFs, Cathie Wood has expressed optimism about the likelihood of approval on January 10, 2024.

Wood applauded the SEC’s recently deepened knowledge of Bitcoin ETFs following several engagements with issuers, adding that the December 29 deadline highlights the commission’s readiness to unveil its verdict.

Cathie Wood highlighted the potential benefits contingent on an approval, including a surge in institutional investment, as an approval will encourage institutions that have hesitated to invest in the asset class.

On the Flipside

• COIN remains the largest asset holding in Ark Invest’s portfolio.
• MicroStrategy CEO Michael Saylor deems Bitcoin ETFs the biggest development on Wall Street in 30 years, and a catalyst for a bullish 2024.
• BlackRock , Fidelity , and Grayscale are also seeking a Bitcoin ETF approval.

Why This Matters

The recent moves by Ark Invest hint at a strong likelihood of approval on January 10, 2024, which will boost the mainstream adoption of Bitcoin.

Insiders at Coinbase are leveraging market movements, find out more:
Coinbase Execs Offload $42M COIN Shares in Holder Sell-off  

Bitcoin ETFs are amping efforts as SEC verdict nears; read more: 
Grayscale and Hashdex Intensify Bitcoin ETF Approval Efforts