Cathie Wood’s ARK Rotates From Tesla to Ether Treasury Firm BitMine
Wood’s Funds Add to Ether Treasury Exposure
ARK Invest, led by Cathie Wood, added to its holdings in Tom Lee’s BitMine while trimming its position in Tesla, according to Friday’s trading disclosures. The firm purchased 48,454 shares of BitMine, worth about $2 million, across three platform-traded funds — ARK Innovation (ARKK), ARK Fintech Innovation (ARKF), and ARK Next Generation Internet (ARKW).
The move extends ARK’s accumulation of BitMine shares since April, when the company began adding Ether (ETH) to its corporate treasury. BitMine has since become one of the largest publicly listed Ether-holding firms. Shares climbed 7.65% to $40.23 in later than-hours trading, according to Google Finance, bringing year-to-date gains to about 415%.
BitMine’s rally has tracked the rebound in Ether, which recently traded at $3,349. The company’s decision to hold ETH as a balance sheet asset has attracted institutional investors looking for leveraged exposure to crypto without directly holding tokens.
Investor Takeaway
ARK Reduces Tesla Holdings
Alongside the BitMine purchase, ARK sold about 71,638 Tesla shares across its ETFs, a position worth roughly $30 million based on Tesla’s Friday closing price of $429.52. Both ARKK and ARKW trimmed their Tesla stakes, a core holding in ARK’s portfolio since 2018. Tesla’s shares fell 3.68% during the session.
The sale follows Tesla shareholders’ approval of Elon Musk’s $1 trillion pay package at the company’s annual meeting in Austin, Texas. About 75% of voting shares backed the plan despite opposition from proxy advisers Glass Lewis and ISS. The award grants Musk 12 tranches of stock tied to performance milestones begining at a $2 trillion valuation and stretching to $8.5 trillion, potentially raising his ownership from 13% to 25% if all goals are met.
ARK’s reduction does not necessarily mark an exit but signals portfolio rebalancing amid a strong rally in both Tesla and several crypto-linked equities in 2025. Tesla remains among ARK’s largest holdings, though its weight has declined as newer digital asset and fintech positions grow.
Investor Takeaway
BitMine Faces Paper Losses on Ether Holdings
Despite its share price surge, BitMine is sitting on $2.1 billion in unrealized losses linked to its Ether reserves, according to CryptoQuant. The company holds nahead 3.4 million ETH, having acquired more than 565,000 coins in the past month alone. The losses stem from Ether’s sharp drawdown during the broader crypto correction earlier this year.
BitMine’s balance sheet strategy mirrors that of ahead BTC-treasury companies like MicroStrategy, though it focuses solely on Ether. Analysts note that the firm’s aggressive accumulation exposes it to short-term market swings but gives it long-term leverage if continues to rise.
While the approach carries risk, it has also transformed BitMine into a proxy for . The stock’s fourfold increase this year highlights investor appetite for regulated vehicles offering indirect crypto exposure, even amid fluctuating token prices.
ARK’s Broader Crypto Strategy
Friday’s filings continue ARK’s expansion into digital asset equities. Earlier this month, the firm purchased $12 million in Bullish shares as options trading volumes climbed following the platform’s Nasdaq debut. ARK has also been a consistent purchaviewr of Coinbase stock throughout 2024 and 2025, maintaining exposure to regulated trading and custody businesses that complement its crypto-adjacent positions.
Wood has long argued that blockchain and decentralized finance represent the next wave of technological disruption. Her funds’ allocation toward Ether-linked firms like BitMine suggests continued conviction in ETH’s growth as a platform for tokenized finance and institutional-grade infrastructure.
ARK’s daily disclosures are closely followed by traders as indicators of sector sentiment. The firm’s recent activity underscores an active rotation into digital asset equities at a time when traditional tech valuations remain stretched.
