Ark Invest Seizes Opportunity: Scoops Up $15.56M in Circle Shares During Market Slump

Wall Street's crypto bulls strike again—Ark Invest just dropped $15.56 million on Circle stock while others panic-sold. Timing the dip or catching a falling knife? Only the tape will tell.

Why it matters: When Cathie Wood's crew buys, crypto Twitter listens. This move screams conviction in stablecoins' future—or at least a cheap bet on regulatory clarity.

The cynical take: Another 'disruptive innovation' play from the ETF shop that brought you 'peak inflation' calls in 2022. But hey, even broken clocks...

TLDR

• Ark Invest purchased $15.56 million worth of Circle shares on Thursday through three of its exchange-traded funds.
• The ARK Innovation ETF, ARK Next Generation Internet ETF, and ARK Fintech Innovation ETF were involved in the Circle share acquisition.
• Despite a 4.59% drop in Circle’s stock price, Ark Invest continues to increase its stake in the company.
• Ark Invest also purchased 242,347 shares of BitMine and 177,480 shares of Bullish, totaling $16.14 million in investments.
• Circle reported a 66% increase in revenue for Q3, along with a 202% rise in net income, despite a market downturn.

Ark Invest bought $15.56 million in Circle Internet Group shares on Thursday, according to the latest filing. The investment firm purchased the stock through three of its exchange-traded funds (ETFs). This included shares in the ARK Innovation ETF (ARKK), ARK Next Generation Internet ETF (ARKW), and the ARK Fintech Innovation ETF (ARKF).

Ark Invest’s Purchase of Circle Shares Across Three ETFs

The ARK Innovation ETF (ARKK) acquired 130,595 shares of Circle, valued at approximately $10.75 million. The ARK Next Generation Internet ETF (ARKW) added 38,313 shares, worth $3.16 million. Additionally, the ARK Fintech Innovation ETF (ARKF) purchased 20,033 Circle shares, valued at $1.65 million.

Circle’s stock dropped by 4.59% on Thursday, closing at $82.34 per share. Despite the drop, Ark Invest continues to build its stake in the company. Earlier this week, Circle reported strong third-quarter results, posting $740 million in revenue and a 202% increase in net income.

In addition to Circle, Ark Invest purchased shares in BitMine Immersion Technologies Inc. and Bullish. The three ETFs bought a combined 242,347 shares of BitMine, valued at $8.86 million. They also added 177,480 shares of Bullish, worth $7.28 million.

Despite these purchases, both BitMine and Bullish saw sharp declines on Thursday. BitMine dropped 9.86%, closing at $36.57, while Bullish fell 9.85%, closing at $41.02. Ark Invest’s moves come after Circle reported positive earnings, with revenue up 66% year over year in Q3.

Circle’s Strong Third-Quarter Results and Future Plans

Circle reported a 66% revenue increase in Q3, totaling $740 million. Its net income surged by 202% to $214 million. The company’s USDC circulation reached $73.7 billion, up 108% year over year.

Circle is also expanding its blockchain efforts. It is exploring the possibility of launching a native token for its Arc blockchain. The Arc public testnet, launched last month, is designed for Circle’s stablecoin-focused LAYER 1 blockchain.

Ark Invest’s moves reflect the firm’s sustained interest in digital asset companies. The firm continues to accumulate shares in companies like Circle, BitMine, and Bullish. Ark’s focus on blockchain and fintech remains strong, despite market fluctuations.