Key facts
- Ark Invest purchased $37.4 million in Block Inc. shares.
- The investment was spread across Ark's ARKK, ARKW, and ARKF ETFs.
- Ark also acquired $3.36 million worth of Circle Internet Group shares.
- Block reported $3.17 billion in gross profit for its second quarter.
- Circle's stock closed up 9.65% on Monday.
Cathie Wood's Ark Invest made substantial purchases of Block Inc. shares, totaling approximately $37.4 million, and also acquired about $3.36 million in Circle Internet Group shares on Monday. The Block shares were strategically divided among Ark's actively managed exchange-traded funds: the ARK Innovation ETF (ARKK), the ARK Next Generation Internet ETF (ARKW), and the ARK Fintech Innovation ETF (ARKF).
Ark acquired 456,059 shares of Block, a company co-founded by Bitcoin proponent Jack Dorsey. Block, formerly known as Square Inc., operates the Square merchant platform, the Cash App, and develops Bitcoin mining hardware. The investment firm allocated 191,732 shares, valued at around $15.7 million, to ARKK; 88,065 shares, worth approximately $7.2 million, to ARKW; and 176,262 shares, valued at about $14.5 million, to ARKF.
Block's stock closed down 3.23% on Monday at $80.20. The purchase follows Block's second-quarter earnings report, which showed a 25% year-over-year increase in gross profit to $3.17 billion. The company also raised its 2026 gross-profit forecast to $12.51 billion, projecting 21% annual growth. Operating income was reported at $447 million, with adjusted operating income at $864 million. Block attributed artificial intelligence to assisting in reviewing nearly all its production code changes in June. These results were preceded by a February restructuring that reduced the company's workforce by over 40%.
In addition to Block, Ark Invest purchased 35,192 shares of Circle Internet Group, the issuer of the USDC stablecoin, through its fintech fund. This stake was valued at approximately $3.36 million, with Circle closing Monday at $95.55, marking a 9.65% increase. On the same day, Ark also divested shares in Palantir, Shopify, Roblox, AMD, and Tempus AI, though the firm did not specify if these sales funded the Block or Circle acquisitions.