ARK Invest, a global asset manager, has made significant changes to its investment portfolios by shifting its focus towards Ethereum and Bitmine Immersion Technologies.
Restructuring of Assets
Cathie Wood, CEO of ARK Invest, has undertaken a restructuring of the company's asset allocations, which has involved selling shares in various companies in favor of investing in Bitmine Immersion Technologies, led by Tom Lee from Fundstrat. This purchase marks the first instance since ARK shifted its focus from supporting Bitcoin to Ethereum. Consequently, three ARK funds—ARK Innovation ETF (ARKK), Next Generation Internet ETF (ARKW), and Fintech Innovation ETF (ARKF)—sold 218,986 shares of Coinbase, valued at about $90.5 million.
Rising Popularity of Ethereum
According to recent updates, ARK Invest acquired 4.4 million shares of Bitmine, valued at approximately $174 million, which now makes up 1.5% of each ETF. Bitmine Immersion Tech currently ranks second in the world for Ether reserves, holding more than 300,000 ETH worth around $1.1 billion at the time of publication.
Support of ETH by Other Companies
Bit Digital Inc., previously a Bitcoin mining company, has also shifted its focus to Ethereum after raising $172 million in public equity and selling 280 BTC. As a result, the company has accumulated about 100,603 ETH. Other firms, such as SBET, have begun establishing their ETH reserves as well, raising $425 million through private placements.
The strategic shifts made by investment firms like ARK Invest and Bit Digital indicate a growing institutional interest in Ethereum and its potential economic impact.
