Cathy Wood’s Arc Investments cut its exposure to cryptocurrency exchange Coinbase on Friday, adding to its position in the booming digital asset platform by offloading $22 million worth of stakes in several exchange-traded funds (ETFs).
According to Ark’s trading disclosures, the firm sold 92,737 Coinbase Global shares from Ark Innovation ETF (ARKK), 32,790 shares of Next Generation Internet ETF (ARKW) and 8,945 shares of FinTech Innovation ETF (ARKF). The combined transaction totaled 134,472 shares, valued at approximately $22.1 million.
The sell-off comes as Arc Investments, led by Cathy Wood, has reversed course on the coinbase, selling 119,236 coins on Thursday after a brief buying spree earlier in the week. Thursday’s sale was the firm’s first coinbase sale of 2026 and its first since August 2025.
Meanwhile, Coinbase stock climbed during Friday’s session, closing at around $165 after gaining nearly 13% on the day. However, the exchange’s shares are still down 26% year-to-date (YTD), according to data from Google Finance.
Related: Cathy Wood’s Arc Boosts Crypto Shares Amid Stock Pullback
The box raised the stakes
At the same time, the fund accumulated bullish shares in several funds. The investment manager bought 278,619 shares in ARKK, 70,655 shares in ARKW and 43,783 shares in ARKF, amassing 393,057 shares worth $10.7 million.
Bullish shares ended the trading day near $27, up nearly 10%. However, the stock is down 27% YTD as the company reported fourth-quarter 2025 earnings of $563.6 million, or $3.73 per diluted share, reversing the $158.5 million profit recorded a year ago.
Along with crypto moves, the fund added Alphabet, Recurring Pharmaceuticals and Tempus AI, while reducing exposure to a number of high-growth technology companies including Roku, TradeDesk and PageReady.
Related: Cathy Wood’s Arc Raises COINNBASE, Circle, As Crypto Slides Fast
CryptoSlip is weighted on fund ETFs
As QuantalGraph reported, the fourth-quarter pullback in digital asset markets hurt several of Cathy Wood’s arch ETFs. In its latest quarterly report, Ark said weakness in companies linked to digital assets was a significant drag on its flagship funds, including Coinbase, Ark, ARKW and ARKF.
Coinbase shares fell faster than major cryptocurrencies during the period as the centralized exchange’s trading volume fell 9 percent quarter-on-quarter after the October liquidation event. The stock is down nearly 35% year-to-date since October, underperforming both Bitcoin (BTC) and Ether (ETH).
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