ARK Invest bought 4.3 million shares of ProShares Bitcoin Strategy ETF (BITO) yesterday after dumping its remaining holdings of the Grayscale Bitcoin Trust (GBTC).

The ProShares stake is valued at $9.2 million based on closing prices. Cathie Wood's investment vehicle also sold $27.6 million worth of Coinbase (COIN) stock and bought 20,000 shares of the Ark 21Shares Active Bitcoin Future Strategy ETF, according to an emailed transaction notice.

The ProShares exchange-traded fund, which started trading in October 2021 as the first U.S. bitcoin-linked ETF, now accounts for 5.03% of the ARK Next Generation Internet ETF (ARKW), its sixth-largest holding. The fund no longer holds any GBTC shares, with the last reported sale on Dec. 20. At just under 12%, Coinbase remains the fund's largest holding even after Wednesday's sale of 148,885 shares.

The change in holdings comes ahead of next month's expected decision by the Securities and Exchange Commission on whether to allow spot bitcoin ETFs to trade in the U.S. Both Grayscale and Ark 21Shares have ETF applications filed with the regulator, which has been meeting with applicants.

ARK Invest Coinbase ProShares Bitcoin Strategy ETF Grayscale Bitcoin Trust ETFs Cathie Wood

Sheldon Reback

Sheldon Reback is CoinDesk's European news editor. Before joining the company, he spent 26 years as an editor at Bloomberg News, where he worked on beats as diverse as stock markets and the retail industry as well as covering the dot-com bubble of 2000-2002. He subsequently managed the Bloomberg Terminal's main news page before becoming the European editor for a global project to produce short, chart-based stories across the newsroom. His previous work as a journalist took him to Hong Kong, where he reported and edited for several technology magazines, and he also has experience in market research and writing computer manuals. Sheldon has an MBA from the London Business School and an industrial chemistry degree from Brunel University. He owns a small amount of ether.