- ARK Invest acquires $19.2M worth of Block shares following a recent price decline.
- Cathie Wood’s firm continues buying fintech stocks despite broader market volatility.
- Analysts view the buy as a strategic move to capitalize on Block’s long-term growth potential.
Cathie Wood’s ARK Invest has increased its stake in Block Inc. after the stock hit a three-week low. The move highlights ARK’s confidence in the fintech firm’s role in blockchain payments and Web3 infrastructure.
ARK Invest bought $19.2 million worth of Block shares across three of its exchange-traded funds on Monday. The purchases came as Block’s stock closed at $73.03, down 0.49% on the day. That was its lowest closing price since July 18. The buying occurred despite Block’s shares falling 4% in the past five trading days. However, the stock remains up 12% over the past month.
ARK Spreads Purchases Across Multiple Funds
ARK’s disclosure shows that the ARK Innovation ETF bought 152,980 shares of Block. The ARK Next Generation Internet ETF added 69,526 shares, and the ARK Fintech Innovation ETF acquired 39,957 shares.
This is not the first time Cathie Wood has increased exposure when a stock declines. She often adds positions on weakness and trims them on strength. The latest Block purchase came shortly after the company released its second-quarter earnings. Block reported $2.54 billion in gross profit, up 14% from a year earlier. Its results were supported by strong performance in Cash App, its peer-to-peer payment platform. Block has also raised its full-year gross profit forecast to $10.17 billion.
Bitcoin Holdings and Market Position
Block, formerly known as Square, operates several cryptocurrency-focused business lines. It holds bitcoin on its balance sheet for investment and to facilitate bitcoin transactions. The company held 8,692 BTC as of June 30, according to its quarterly filing.
Despite reporting 62 cents per share in earnings for the quarter, Block missed the analyst consensus estimate of 68 cents. However, some areas of its performance exceeded expectations, particularly in transaction-based revenue.
Cathie Wood’s latest move comes as her funds navigate market volatility. ARK’s ETFs have swung between sharp losses and strong gains in recent months. In early 2025, the funds rallied on expectations of deregulation under the Trump administration.
That momentum slowed in March and April as some of ARK’s top holdings faced macroeconomic headwinds. Tesla, ARK’s largest position, has been under pressure amid concerns over trade policy and slowing demand.
Related: Cathie Wood Supports ETH Upgrade; Traders Push Back Hard
Long-Term Bet on Blockchain Payments
The acquisition of additional shares of Block at lower prices seems to be an indication of ARK’s expectations towards the long-term potential of the company. Block’s involvement in digital payments and bitcoin infrastructure aligns with ARK’s interest in disruptive innovation.
The purchase also reflects a broader strategy of building positions in companies linked to blockchain and Web3 technology. ARK has consistently supported firms developing infrastructure for the digital economy, even during market downturns.
The Block’s inclusion of bitcoin in its payment ecosystem has kept it unique among the traditional payment companies. The firm’s willingness to have bitcoin in its balance sheet indicates its commitment to the cryptocurrency market.
With the stock trading well below recent highs, ARK’s move suggests it views the current price as a buying opportunity. Whether this bet pays off will depend on Block’s ability to sustain growth in its fintech and crypto operations.
