ARKB: Ark Invest Trims Position as BTC ETFs See $201.1M Outflows

Ark Invest sold 68,997 Block shares worth $6.1M and 49,767 Bullish shares worth $1.1M, then reduced its position in its own Ark 21Shares Bitcoin ETF, ARKB, by $1.6M. ARKB recorded $9.9M in net outflows on Monday, contributing to $201.1M of outflows across US spot Bitcoin ETFs. The bearish flow picture came alongside selective purchases of $6.8M in SoFi Technologies and $16.2M in Nvidia. Ark also said its regular portfolio adjustments keep individual stock holdings below 10% of a fund’s weight, making some sales mechanical rather than standalone investment verdicts.

Why it matters

Ark’s reduced ARKB exposure adds to the pressure on the broader spot Bitcoin ETF market, where Monday’s $201.1M in net outflows exceeded the $9.9M recorded by ARKB. The firm still operates a $2.15B ARKB portfolio, so the sale was not large enough to signal a wholesale retreat from Bitcoin. It does show that one of the most active crypto-focused institutional portfolios was taking profits and reallocating on the same day ETF demand weakened.

The purchases elsewhere reveal a selective strategy. SoFi reported 503,000 crypto products at the end of September, while gross crypto transaction revenue rose 20% quarter over quarter to $161.6M. SoFi Earn, an interest-bearing tokenized deposit launched for individual clients, gave Ark a way to add exposure to tokenized finance without buying a crypto token directly. Ark bought $16.2M of Nvidia, whose shares fell 4.27% to $178.67 after the chipmaker disclosed an investigation involving CEO Jensen Huang’s relationship with a woman reportedly identified by intelligence officials as a Chinese spy.

Market impact

The immediate market signal was bearish for Bitcoin ETF demand. Block and Bullish also fell into Ark’s selling, although both stocks rose on Monday, with Block gaining 3.6% to $88.56 and Bullish adding 7% to $22.80. Ark’s 10% fund-weight policy limits how much can be read into individual transactions, especially when its purchases remained concentrated in SoFi and Nvidia.

For SoFi, Ark’s purchase adds institutional validation to a business showing tangible crypto transaction activity and a push into tokenized deposits.