Ark Invest Sells More Circle Shares, Shifts Focus to Robinhood and Coinbase

Cathie Wood’s firm reduces exposure to stablecoin operator Circle after a 7.5x price surge post-IPO

Ark Invest, the investment firm led by renowned fund manager Cathie Wood, has dumped a large portion of its holdings in Circle, the company behind the USDC stablecoin, while simultaneously increasing its stake in popular trading platforms Coinbase and Robinhood.

Circle went public earlier this month, and its explosive growth has not gone unnoticed. Ark had rapidly accumulated shares during the initial listing phase, but it now appears the firm is locking in profits from one of its most successful short-term bets.

The move aligns with Ark’s broader investment thesis: capitalize on market momentum while continuously rotating into other high-conviction assets within the digital finance space.

Ark Invest Reduces Circle Exposure Amid Surging Valuation

On Monday, June 24, 2025, Ark Invest sold 415,855 shares of Circle, worth approximately $109.6 million, across multiple ETFs. This transaction follows another sale of 609,175 shares last week, marking the third consecutive round of Circle divestment by the firm.

Circle’s shares, which debuted at $31 during its IPO, have since soared by 7.5 times, reaching $263.45. This dramatic appreciation has turned Circle into one of the standout IPO stories of the year, driven largely by its pivotal role in the stablecoin market through USDC, the second-largest stablecoin by market cap.

While Ark’s selloff might suggest caution, it also highlights a strategic rebalancing effort to capture profits at peak valuations while reallocating capital into newer or undervalued opportunities.

Cathie Wood Bets Big on Robinhood and Coinbase

Alongside Circle’s selloff, Ark made fresh investments into other high-profile crypto-linked companies:

• Coinbase: Ark purchased 4,198 shares, valued at approximately $1.3 million. Coinbase remains a foundational player in the U.S. crypto market, with growing interest from institutions and retail investors alike.
• Robinhood: The firm also bought 319,640 shares of Robinhood, worth $24.4 million, expanding its stake in one of the most widely used trading apps in the U.S.

These purchases signal Ark’s continued confidence in crypto-centric platforms, especially those with significant user bases and revenue exposure to digital assets. Both Robinhood and Coinbase offer access to crypto, stocks, and ETFs, making them attractive during periods of market volatility.

Strategic Realignment as Crypto Sentiment Shifts

Ark’s decision to scale back its Circle investment could be based on more than just profit-taking. With Circle’s valuation now significantly inflated post-IPO, some analysts believe the price may have run ahead of fundamentals. Meanwhile, Coinbase and Robinhood are perceived as more diversified plays with recurring user engagement and robust product pipelines.

Ark’s ongoing strategy seems to balance short-term gains from outperforming assets like Circle while deepening exposure to long-term crypto infrastructure plays. The firm’s rotation mirrors a broader market trend: investors are gradually moving capital from speculative growth assets into operational companies with real-world revenue and compliance infrastructure.

What Has Happened So Far

• Circle’s IPO was launched earlier this month at $31 per share.
• Ark quickly accumulated and later sold shares in three rounds, including:
  • 609,175 shares sold last week.
  • 415,855 shares sold on June 24.
• Total value sold in the latest round: $109.6 million.
• Circle stock has surged 7.5x, reaching $263.45.
• Ark’s current investments include:
  • Coinbase: 4,198 shares worth $1.3M.
  • Robinhood: 319,640 shares worth $24.4M.