Cathie Wood Scoops Up $30M in Circle Stock as Shares Slide
Ark Adds Circle Exposure Across Three Funds
Cathie Wood’s Ark Invest purchased a combined $30.5 million worth of Circle Internet Group stock on Wednesday, taking advantage of a sharp trade-off following the company’s earnings release.
According to Ark’s daily trade disclosure, the ARK Innovation ETF (ARKK) bought 245,830 Circle shares, the ARK Next Generation Internet ETF (ARKW) added 70,613 shares, and the ARK Fintech Innovation ETF (ARKF) acquired 36,885 shares. The purchaseing spree came as Circle’s shares dropped 12.2% to close at $86.30.
The transactions extend Ark’s exposure to one of the crypto industry’s most established players. Circle issues the USDC stablecoin, the second-largest dollar-pegged digital asset, and has recently expanded into blockchain infrastructure through its Arc network initiative.
Investor Takeaway
Circle Delivers Strong Third-Quarter Results
Circle’s earnings report, released Wednesday, showed $740 million in total revenue, up 66% from a year earlier. Net income rose 202% to $214 million. The circulation of USDC climbed to $73.7 billion by the end of the quarter, a 108% increase from a year ago, reflecting broader adoption across trading, payments, and remittances.
Despite the upbeat results, Circle’s shares declined as investors took profits following a strong year-to-date rally. The company’s stock remains up more than 70% in 2025, buoyed by growing demand for regulated stablecoin products and rising interest income on reserve assets.
In an equity note, William Blair analysts reiterated an “outperform” rating and encouraged investors to “build positions on fragileness.” They described Circle as “a clear leader in a winner-take-most market” as it scales its Circle Payments Network and Arc blockchain infrastructure.
Analysts Flag Key Risks and Opportunities
The William Blair report also cited potential headwinds, including regulatory risk, industry fragmentation, competition from rival stablecoins, and pressure from lower interest rates that could reduce yield on reserve assets. Still, analysts said Circle’s size and compliance track record position it well to capture institutional demand for tokenized payments and settlement tools.
Circle is among a handful of U.S.-regulated stablecoin issuers that comply with new frameworks such as the GENIUS Act, passed earlier this year. The company has also expanded its presence in Europe ahead of the MiCA rollout, positioning itself for cross-border integration with payment platforms and fintechs.
Investor Takeaway
Circle Eyes Native Token for Arc Blockchain
Separately on Wednesday, Circle confirmed that it is “exploring the possibility” of launching a native token for its Arc blockchain. The network, designed for stablecoin settlement and programmable finance, entered public testnet phase last month. Circle said the initiative would expand onchain financial functionality for institutional clients and developers.
The move adds another layer to Circle’s business model as it shifts from a single-product stablecoin issuer to a broader digital payments and infrastructure company. The firm’s expanding portfolio, strong balance sheet, and integration into multiple fintech platforms have made it one of the few crypto-native firms consistently attracting traditional investors.
With Ark Invest increasing its stake during a period of share price fragileness, the trade highlights continued institutional interest in Circle’s long-term prospects despite short-term volatility in the crypto and stablecoin sectors.
