The investment firm Ark Invest, under the leadership of Cathie Wood, conducted significant trading activity in its exchange-traded funds on March 3rd, 2025

The investment firm Ark Invest, under the leadership of Cathie Wood, conducted significant trading activity in its exchange-traded funds on March 3rd, 2025.

The investment firm Ark Invest, led by Cathie Wood, engaged in substantial trading activity in its exchange-traded funds on March 3.

The firm bought 38,865 shares of Coinbase Global Inc. (NASDAQ:COIN) in its Next Generation Internet ETF (NYSE:ARKW) for an addition of about $8 million.

This continues Ark's focus on cryptocurrency assets despite volatility in the market.

The corporation also sold 95,769 shares of its ARK 21Shares Bitcoin ETF (NYSE:ARKB) for around $8.2 million in its diversified investment approach.

These transactions align with Ark's strategy of rebalancing its funds to ensure no holding exceeds 10% of any fund's portfolio.

Coinbase's inclusion in ARKW places it as the sixth-largest holding in the ETF, granting it a 6% weighting and a market value of approximately $99.1 million as of March 3.

Despite the sale, ARKB remains the top allocation in ARKW, holding a 10.3% weighting valued at roughly $169.8 million.

Ark Invest's Focus on Fintech and Technology Stocks

Ark Invest also reinforced its position in fintech and technology sectors. The firm acquired 74,111 shares of Airbnb Inc. (NASDAQ:ABNB) for its Fintech Innovation ETF (NYSE:ARKF), with the trade valued at around $10.45 million based on Monday’s closing price of $140.98.

The acquisition follows Airbnb's strong performance in its fourth quarter through enhanced bookings and increased market capture from traditional hotels.

Furthermore, Ark acquired 9,100 shares of Tempus AI Inc. (NASDAQ:TEM) for its Innovation ETF (NYSE:ARKK) and Genomic Revolution ETF (ARKG), a combined purchase of $500,082. Tempus AI's potential for growth attracts Ark as the company navigates the market despite reported difficulties in revenue. During Q4 2024, the company demonstrated a 35.8% increase to reach $200.7 million.

Ark's strategic approach centers predominantly on acquiring technological and health-oriented businesses.

Market Context and Crypto Volatility

The trades come amid volatility in the cryptocurrency market. On March 3, Coinbase shares closed down 4.6% at $205.75, reflecting a nearly 20% year-to-date decline.

Bitcoin and other cryptocurrencies retraced gains from President Trump's announcement of a U.S. Crypto Strategic Reserve, due to concerns over new tariffs on Canada, Mexico, and China.

Despite Ark's sale of ARKB, the ETF saw net inflows of $58.2 million on March 3, making it the only U.S. spot Bitcoin ETF to attract inflows that day.

While other crypto markets saw declines of 11% in the last day, Ark's moves indicate an active management approach, with exposure to high-growth sectors and adjustments in response to market trends.