Breaking News: Cathie Wood’s ARK Sells GBTC Position to Invest in Bitcoin ETF

In a recent development, Cathie Wood’s investment firm, ARK Invest, has sold its entire position in the Grayscale Bitcoin Trust (GBTC) and is reportedly preparing to invest the proceeds in its own Bitcoin exchange-traded fund (ETF).

The news was first reported by Bloomberg, citing anonymous sources close to the matter. According to the report, ARK decided to sell its GBTC holdings due to concerns over the high management fees and lack of regulatory approval for a Bitcoin ETF.

The decision to divest from GBTC is significant as ARK Invest has been a key investor in the trust, with substantial holdings. This move could signal a shift in strategy for ARK, as it aims to capitalize on the growing popularity of Bitcoin and the potential for a Bitcoin ETF in the near future.

Wood, the founder and CEO of ARK Invest, has been a vocal advocate for Bitcoin and has previously expressed her belief in the long-term potential of the cryptocurrency. With the recent surge in Bitcoin prices and increased institutional interest, it seems ARK is now looking to create its own Bitcoin ETF to offer investors a more cost-effective and regulated option.

A Bitcoin ETF would allow investors to gain exposure to Bitcoin without having to directly own the cryptocurrency. It would also provide a regulated and transparent investment vehicle, potentially attracting more institutional investors who have been hesitant to enter the crypto market due to regulatory uncertainties.

The move by ARK to sell its GBTC holdings and develop its own Bitcoin ETF comes at a time when the Securities and Exchange Commission (SEC) in the United States is actively reviewing multiple applications for Bitcoin ETFs. While the SEC has previously rejected several proposals for a Bitcoin ETF, the increasing interest from established financial institutions and the growing market demand may increase the chances of approval for a Bitcoin ETF in the future.

ARK’s decision to enter the Bitcoin ETF space could also have a significant impact on the competition. With its reputation as a leading investment firm and its track record of successful disruptive technology investments, ARK could attract a substantial amount of capital to its Bitcoin ETF, potentially challenging existing offerings in the market.

As the cryptocurrency market continues to evolve, the introduction of a Bitcoin ETF could be a game-changer. It would provide a more accessible and regulated way for investors to participate in the growing digital asset class, potentially fueling further adoption and driving Bitcoin prices higher.

In conclusion, Cathie Wood’s ARK Invest selling its GBTC position to invest in its own Bitcoin ETF marks a significant development in the cryptocurrency and investment landscape. If approved, the Bitcoin ETF could open the doors for more widespread institutional adoption of Bitcoin and further solidify its position as a legitimate asset class.

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BREAKING: Cathie Wood’s ARK just sold ALL of its GBTC position – Bloomberg

Getting ready to put those funds into their own Bitcoin ETF. pic.twitter.com/OIs5UlzQd2

— Bitcoin Archive (@BTC_Archive) December 28, 2023

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@BTC_Archive said BREAKING: Cathie Wood's ARK just sold ALL of its GBTC position – Bloomberg Getting ready to put those funds into their own Bitcoin ETF.

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