Catenaa, Thursday, June 19, 2025- ARK Invest sold $51.7 million worth of Circle shares just 11 days after the stablecoin issuer’s explosive trading debut, prompting questions over whether the move signals early profit-taking or concern about the stock’s sustainability.
Cathie Wood’s investment firm offloaded 342,658 Circle (CRCL) shares on Monday, reducing its initial stake by 7.6%.
The sale came after Circle’s stock surged 387% since its June 5 IPO, closing at $151.06 on June 16. ARK acquired 4.49 million shares during the debut, investing approximately $373.4 million.
Most of the divested shares came from the flagship ARK Innovation ETF (ARKK), followed by its internet and fintech funds. ARK’s remaining 4.15 million shares are now valued at $628 million, reflecting a hefty paper gain.
Despite the sale, Circle remains one of the largest holdings in ARK’s core funds, each allocating over 6.5% of their portfolio to the stock. Neither ARK nor Wood commented on the decision.
Circle’s IPO marked one of 2025’s most successful listings. The company raised $1.05 billion, with shares initially priced at $31. They opened at $69.50 and soared amid heavy institutional demand, including support from BlackRock.
Market analysts see ARK’s partial exit as a calculated move to secure profits while maintaining long-term exposure. Still, the rapid appreciation in Circle’s stock has sparked debate over whether the rally is driven by market fundamentals or investor euphoria.
The firm behind USDC stablecoin now faces heightened scrutiny as it looks to sustain momentum in the public markets.
