Cathie Wood’s ARK Invest has boosted its stake in Tom Lee’s Ether treasury firm, BitMine, while trimming its holdings in Tesla.
According to ARK’s daily trading report released Friday, the firm purchased a total of 48,454 BitMine shares — worth approximately $2 million — across three of its exchange-traded funds (ETFs): the ARK Innovation ETF (ARKK), ARK Fintech Innovation ETF (ARKF), and ARK Next Generation Internet ETF (ARKW).
ARK’s funds have been steadily increasing their exposure to BitMine since the company began adding Ether to its treasury reserves in April.
BitMine shares rose 7.65% on the day to $40.23 in after-hours trading, according to Google Finance. The stock has surged an impressive 415% year-to-date.
ARK trims Tesla holdings
Meanwhile, ARK Invest sold roughly 71,638 Tesla shares across its various funds — a stake valued at around $30 million based on Tesla’s closing price of $429.52. Both the ARK Innovation ETF (ARKK) and ARK Next Generation Internet ETF (ARKW) reduced their positions in Tesla, one of ARK’s core holdings since 2018. Tesla shares declined 3.68% on the day.
The sale follows Tesla shareholders’ approval of CEO Elon Musk’s nearly $1 trillion compensation package, with about 75% of votes in favor despite objections from major proxy advisors Glass Lewis and ISS.
The plan, announced at Tesla’s annual meeting in Austin, Texas, could significantly boost Musk’s control over the company — raising his ownership from roughly 13% to 25% if Tesla achieves the required performance milestones. The package awards Musk 12 tranches of stock options tied to market cap goals ranging from $2 trillion to $8.5 trillion.
BitMine faces $2 billion in paper losses
BitMine, meanwhile, is sitting on around $2.1 billion in unrealized losses from its Ether holdings, as the recent crypto downturn has hit digital asset treasury firms hard, according to CryptoQuant data.
The company currently holds nearly 3.4 million ETH, having added more than 565,000 Ether over the past month.
