ARK has increased the weight of Robinhood stock to 4.09% of the total holdings in the ARKK ETF.
Ark Invest disclosed that its ARK Innovation ETF acquired 123,336 shares of Robinhood Markets on Tuesday, valued at $14.2 million.
Following the recent purchase of Robinhood stock, ARK increased the stock's weight to 4.09% of the ETF's total holdings. The ARKK fund bought approximately $9 million worth of Robinhood stock on Friday.
The most recent purchase occurred a few days after the company bought a total of 2.53 million shares of Bullish stock across its three ETFs.
Ark Invest's continued interest in Robinhood
Cathie Wood's ARK has been seeking long-term capital growth from global participants benefiting from disruptive innovation. For example, Robinhood's customer base surged to 26.5 million in July, a significant increase from the previous month.
Additionally, driven by increased trading volume, Robinhood's cryptocurrency revenue grew by 98%, reaching $160 million.
The timing of Robinhood's acquisition of Bitstamp is also excellent, as Bitcoin adoption is rapidly spreading among global institutions. Additionally, the company has expanded its product range, launching USDG, a fully regulated stablecoin in the EU.
According to Yahoo Finance, Robinhood's stock closed at $115.02 on Monday, up 0.74%. Furthermore, the stock has risen 4.81% since last month and has increased 208.70% year-to-date.
Has ARK previously sold Robinhood stock?
As previously reported, Cathie Wood's investment vehicle sold $5.8 million worth of Robinhood stock last month, along with $6.5 million worth of Coinbase Global stock.
As Bitcoin rose to a historic high of $118,080 in early July, stock sales subsequently rebounded. The world's largest cryptocurrency then soared above $124.4.
Meanwhile, Robinhood is facing scrutiny in the U.S., with the Florida Attorney General launching an investigation into its cryptocurrency division, claiming it marketed itself as 'the cheapest way to buy cryptocurrency.'
