Cathie Wood’s ARK Invest Doubles Down On Circle In Two Funds At Once, Trims Robinhood Again

• ARK Invest added more Circle shares for the first time this week, while continuing to reduce its position in Robinhood.
• The firm also bought Coinbase, extending a broader push into crypto-linked equities.
• Circle's recent rebound follows the regulatory approval of its national trust bank charter, which allows it to manage USDC reserves under federal oversight.

Cathie Wood's ARK Invest bought shares of Circle (CRCL) on Tuesday, while trimming Robinhood (HOOD) for the second time this month.

According to the firm's daily trade disclosures, ARK's flagship ARK Innovation exchange-traded fund (ETF) (ARKK) bought 159,517 shares of Circle, roughly 0.12% of the fund. In comparison, the ARK Next Generation Internet ETF (ARKW) added 42,400 shares, also roughly 0.12% of that fund. ARKK simultaneously sold 27,742 shares of Robinhood, representing about 0.04% of the fund.

ARKK also trimmed Advanced Micro Devices (AMD), Twist Bioscience (TWST), and 10x Genomics (TXG) on Tuesday. 

The ARK Autonomous Technology & Robotics ETF (ARKQ) added stakes in Kratos Defense and Security Solutions (KTOS), Kodiak AI (KDK), Pony AI (PONY) and WeRide (WRD), while ARKW bought Block (XYZ) and sold Roku (ROKU).

Circle Bought Twice In A Month

Tuesday's trades marked ARK's second Circle purchase and second Robinhood sale within the same month.

ARK's crypto-equity buying last week began with the firm buying Circle across three funds, ARKK, ARKW, and ARK Fintech Innovation ETF (ARKF), the same day it sold Robinhood from ARKK. Following that, ARK bought Coinbase (COIN) across ARKF, ARKK, and ARKW, trailing only SpaceX (SPCX) as the most widely bought name that day. 

Circle's Rebound And Regulatory Backdrop

The repeated buying comes as Circle worked to differentiate itself from a wave of new stablecoin competition. 

Circle President Heath Tarbert said on Tuesday that the firm was "playing the long game" against rivals, including a 140-company stablecoin consortium, pointing to USD Coin's (USDC) roughly $73 billion in circulating supply as a competitive advantage.

Circle's stock has been climbing off a three-month low after the Office of the Comptroller of the Currency (OCC) approved the firm's national trust bank charter last week, allowing Circle to manage USDC reserves under federal oversight. Shares remain roughly 76% below their post-initial public offering (IPO) peak of about $260.

CRCL stock was up by 0.41% during pre-market trade. On Stocktwits, the retail sentiment around CRCL remained in the ‘bullish’ zone, while chatter around it stayed at ‘high’ levels over the past day.

The buying also comes as crypto markets tracked the progress on the Digital Asset Market Clarity Act, known as the CLARITY Act, which TD Cowen expected could reach the Senate floor as soon as July 20. 

President Donald Trump also urged senators on Monday to pass the bill, though the death of Senator Lindsey Graham (R-SC) has complicated Republicans' path to the 60 votes needed for passage.

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