Cathie Wood's ARK Invest bought roughly $6.83 million of Circle Internet Group (NYSE:CRCL) stock on July 31, days after New York regulators granted the stablecoin issuer a new trust charter. The purchase spanned three ARK funds and follows a string of regulatory wins for Circle's USDC token.
ARK Adds to Its Circle Position
ARK Invest bought nearly 109,129 Circle shares worth about $6.83 million on Friday, July 31, based on the stock's closing price. Circle stock itself closed at $62.61, down $1.63, or 2.54% that day.
The buying was spread across three of Wood's funds: ARKK, ARKW and ARKF bought 77,103, 22,238 and 9,788 shares respectively. The purchase came on the heels of the New York Department of Financial Services granting a limited-purpose trust charter to Circle Internet Trust Company LLC, known as Circle New York Trust.
A New York Charter for USDC
The new charter merges New York's state regulation of USDC issuance with the federal trust powers Circle obtained earlier this month from the Treasury's Office of the Comptroller of the Currency. Circle said the New York trust company will hold fiduciary power and will be permitted to use New York banking law to conduct virtual currency business.
According to CoinGape, CEO Jeremy Allaire called the approval a long-held goal, saying the license puts USDC within a "strong, respected framework as digital dollars become central to the global financial system". The company plans to gradually shift USDC issuance to its New York entity while keeping custody and collateral trustee services under its federally chartered national trust bank.
Stock Still Below Its Post-OCC Level
The New York approval follows Circle's final OCC authorization, which sent CRCL shares up 10% on July 10. The stock has since declined significantly from that level, even as ARK keeps adding to its position.
Source: CoinGape
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