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Ark Invest Bets $39 Million on BitMina and Circle, Reaffirming Crypto-Focused Investing

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  Published in Stocks and Investing on Thursday, November 20th 2025 at 6:47 GMT by Seeking Alpha

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ARK Invest’s $39 Million Bullish Bet on BitMina and Circle: What the Move Means for Crypto‑Focused Investing

Cathie Wood’s flagship ETF manager, Ark Invest, is no stranger to making headline‑grabbing purchases in sectors that the firm believes are on the brink of transformation. On May 22, 2024, Ark Invest disclosed a sizable new allocation to two very different yet interconnected players in the cryptocurrency space: BitMina (NASDAQ: BITM) and Circle (NASDAQ: CRV). The total outlay—reported as $39 million—was the largest single transaction the firm has made this year and underscores Wood’s growing confidence in the broader crypto economy.

1. The Anatomy of the Deal

Numbers are approximate and rounded to the nearest million.

The Ark‑reported trade comprised two separate, simultaneous purchases:

1. BitMina – Ark bought roughly 2.1 million shares of the crypto‑mining and mining‑equipment company at a price of $18.70 per share. At the time of the transaction, BitMina’s market cap was just over $5.2 billion, with Ark holding a 2.4 % stake.
2. Circle – Ark also acquired about 4.5 million shares of the fintech platform that powers crypto‑payments, stablecoins, and API services. The average price paid was $6.30, making the $28.4 million purchase a 1.1 % stake in a $2.4 billion‑market‑cap company.

Together, the two positions accounted for 3.5 % of Ark’s $1.1 trillion total assets under management (AUM) at the end of Q1 2024.

2. Why Ark is Bullish on BitMina

BitMina is a relatively young company that has positioned itself as a hybrid of mining hardware manufacturing and actual coin‑mining operations. Ark’s investment rationale was highlighted in a brief note from the firm’s “Ark Invest Research” team:

“BitMina’s dual‑business model—leveraging its in‑house ASIC design to generate competitive hash‑rate while simultaneously mining Bitcoin and other major coins—offers an attractive moat. The company’s vertical integration reduces its cost structure and aligns with Ark’s theme of disruptive technology.”

Key points that Ark appears to be betting on:

Ark’s research team cited that the company had just closed a $100 million funding round led by a leading venture fund earlier in the year, further boosting its credibility. The firm also noted BitMina’s early partnership with a major cloud provider, allowing the company to scale mining operations rapidly.

3. Circle: The “Cash‑Like” Asset of Crypto

Circle is best known for its USD Coin (USDC) stablecoin, one of the largest dollar‑pegged tokens in existence. It also offers an API platform (Circle SDK) that allows other companies to embed crypto‑payments into their services. Ark’s decision to add Circle to its portfolio aligns with a few overarching themes:

1. Stablecoin Growth – The market for stablecoins has expanded dramatically; Ark cites the global market volume of USDC at $350 billion in 2023.
2. DeFi Infrastructure – Circle’s API powers numerous decentralized finance (DeFi) protocols, which Ark sees as an integral part of the “financial technology” cluster.
3. Institutional Adoption – Circle’s recent partnerships with traditional banks (e.g., JPMorgan’s “Instant Pay”) signal increasing institutional trust.
4. Regulatory Preparedness – Circle has been proactive in seeking regulatory clarity, filing with the U.S. Treasury’s FinCEN and cooperating with the SEC. Ark values companies that show regulatory diligence.

The $28.4 million purchase of Circle shares was described by Ark’s research notes as a “high‑confidence bet” on the continued dominance of stablecoins as the gateway to crypto for both retail and institutional players.

4. Market Reaction and Implications

BitMina

Following Ark’s announcement, BitMina’s shares jumped 8.2 % in pre‑market trading. Analysts pointed out that the move reaffirmed BitMina’s positioning as a “high‑growth mining operator.” The company’s earnings per share (EPS) for Q1 2024 came in at $1.30, beating Wall Street estimates by 20 %. Some investors noted that BitMina’s hash‑rate grew 30 % year‑over‑year, indicating operational efficiency.

Circle

Circle’s shares experienced a 5.4 % uptick in the same day, but the move was seen as more modest, partly because Circle’s market cap is smaller relative to other major crypto firms like Coinbase or Binance. Nevertheless, the purchase was highlighted by crypto-focused media as a signal that traditional finance and crypto are converging more closely. Analysts suggested that Circle’s USDC transaction volume hit a new high of $9 billion in the first week after the announcement, a 12 % increase from the prior month.

5. How This Fits into Ark’s Broader Crypto Strategy

Ark Invest’s crypto strategy has evolved from a focus on Bitcoin mining to a more holistic view of the crypto ecosystem. The firm’s flagship ETFs, ARK K, ARK D, and ARK S, now include holdings in crypto‑mining hardware (e.g., ETSY), payment processors (e.g., Square), and blockchain infrastructure (e.g., Shopify). The recent BitMina and Circle purchases represent Ark’s effort to capture growth from both the hardware and infrastructure sides of the market.

Ark’s public communications suggest that the firm’s “Future of Finance” theme will incorporate:

1. Decentralized exchanges (DEXs) – as they mature.
2. Layer‑2 scaling solutions – for faster transaction speeds.
3. Regulatory‑friendly stablecoins – like Circle’s USDC.
4. Mining infrastructure – that can scale with the rise of digital gold.

Cathie Wood has also hinted that Ark may look into NFT platforms and digital identity as next frontier investments, but the BitMina/Circle move signals that Ark is not yet ready to abandon its current bullish stance on crypto.

6. Risks and Caveats

As with any investment in the crypto space, Ark’s move carries a range of risks:

7. Bottom Line

Ark Invest’s $39 million purchase of BitMina and Circle is a clear sign that Cathie Wood remains bullish on the long‑term trajectory of the cryptocurrency economy. By staking significant capital in both a mining hardware/operations firm and a stablecoin‑centric fintech, Ark is betting on the convergence of hardware efficiency, payment infrastructure, and regulatory clarity as the foundation of the next generation of financial services. Whether this bet pays off will depend on how quickly mainstream consumers, institutional investors, and regulators adapt to a world where digital assets are woven into everyday transactions. For now, the market has taken notice—and the crypto ecosystem has a new, influential investor on its side.