Stablecoin Issuer Remains Top Holding Across ARK’s Flagship Funds Despite Partial Profit-Taking

ARK Invest, the crypto-focused asset management firm led by Cathie Wood, has sold part of its holdings in Circle (CRCL) — the issuer of the USDC stablecoin — just 11 days after the company went public on the New York Stock Exchange (NYSE).

According to a trade disclosure obtained by Cointelegraph, ARK divested 342,658 Circle shares worth approximately $51.7 million on Monday, marking the firm’s first sale of CRCL stock since the stablecoin issuer’s June 5 IPO.

Partial Sale Comes After Strong Post-IPO Performance

ARK’s move comes after Circle’s shares surged more than 118% in less than two weeks, climbing from an IPO debut price of $69 to a high of $164 on June 16, before settling around $151 at Monday’s close, according to TradingView data.

The stock has become one of ARK’s top-performing holdings, reflecting broader investor enthusiasm for regulated stablecoin infrastructure and the mainstreaming of crypto-based payment systems.

Circle Still Among ARK’s Largest Positions

Despite the partial divestment, Circle remains a core holding across ARK’s three leading funds:

• ARK Innovation ETF (ARKK) — ARK’s largest fund with $5.6 billion AUM — holds $387.7 million in CRCL shares, accounting for 6.6% of its total assets

• ARK Next Generation Internet ETF (ARKW) holds $124 million in CRCL shares, or 6.7%, second only to Coinbase at 6.8%

• ARK Fintech Innovation ETF (ARKF), the smallest of the three by AUM, holds $72 million in CRCL, or 6.7% of total assets

This suggests that ARK’s share sale represents profit-taking rather than a loss of conviction in Circle’s long-term value.

ARK Acquired $373M in Circle Stock at IPO

ARK initially acquired 4.49 million shares of Circle common stock at launch, worth approximately $373.4 million based on the stock’s closing price on June 5. The purchase made ARK one of the largest institutional backers of Circle’s public debut.

The firm had previously signaled its intention to invest up to $150 million in the IPO but significantly increased its allocation after demand for Circle shares surged, prompting multiple upsizings ahead of the offering.

ARK: Circle IPO Marks Turning Point for Stablecoins

On June 9, ARK researchers said the successful listing of Circle reflected a broader shift in public perception regarding the crypto industry — particularly around the utility and legitimacy of stablecoins.

“Stablecoins are continuing the property rights revolution that Bitcoin launched,” ARK analysts wrote, referencing economist Hernando de Soto’s framework.
“Bitcoin made financial property rights possible with smartphones. Stablecoins are advancing the cause with a less volatile asset and more utility across blockchains and financial platforms.”

Circle’s IPO Seen as Milestone for Regulated Crypto

Circle’s public debut was widely viewed as a milestone for the crypto industry’s integration into mainstream finance. As the issuer of USDC, the world’s second-largest stablecoin, Circle plays a central role in decentralized finance (DeFi), tokenized payments, and cross-border remittance infrastructure.

USDC currently has a market capitalization of approximately $61.3 billion, second only to Tether’s USDT, according to DeFiLlama.

With increasing regulatory clarity on stablecoins and bills like the GENIUS Act advancing through Congress, analysts expect Circle’s business model to benefit from greater institutional adoption and expanded financial applications.

Cathie Wood Remains a Long-Term Crypto Bull

Despite the Circle share sale, Cathie Wood remains one of the most prominent long-term bulls in the cryptocurrency space. In February 2025, she reiterated her forecast that Bitcoin (BTC) could reach $1.5 million by 2030, citing rising institutional demand and Bitcoin’s appeal as a global macro hedge.

“We believe the convergence of monetary debasement, technological innovation, and regulatory clarity is creating a perfect storm for crypto’s next major growth cycle,” Wood said in a recent investor call.

ARK continues to maintain significant exposure to Bitcoin through its Coinbase (COIN) position, its Bitcoin Strategy ETF (ARKB), and other blockchain-focused holdings.

Conclusion

ARK Invest’s $52 million profit-taking move in Circle reflects strategic capital management rather than a shift in its overall conviction. With Circle shares up more than 100% since their debut and stablecoin adoption accelerating, ARK’s position in CRCL remains a key pillar in its crypto investment strategy.

As stablecoins move further into the regulatory spotlight and corporate adoption grows, Circle’s future trajectory — and ARK’s response — will remain closely watched by both crypto-native investors and traditional market participants.