Cathie Wood and her firm ARK Invest are making headlines again. On October 14, 2025, ARK filed new applications with the U.S. Securities and Exchange Commission (SEC) for several Bitcoin-related ETFs. The filings include ARK Bitcoin Yield ETF, ARK DIET Bitcoin 1 ETF, and ARK DIET Bitcoin 2 ETF.

It’s a bold move: ARK already operates the ARKB spot Bitcoin ETF, which currently holds over $2 billion in assets. These new filings aim to expand ARK’s offerings beyond just tracking Bitcoin’s price.

---

What’s in the New ETF Filings?

Yield + Option Strategies

The ARK Bitcoin Yield ETF would not simply mirror Bitcoin’s price. Instead, it plans to generate income by writing options and collecting premiums, allowing investors to earn yield on their holdings.

Downside Protection / Defined Outcomes

• ARK DIET Bitcoin 1: This fund offers 50% downside protection, meaning it cushions the first half of losses but only participates in upside above a certain threshold.

• ARK DIET Bitcoin 2: Provides 10% downside protection, and starts participating in gains if Bitcoin exceeds its starting price at the beginning of a period.

These structure types are known as defined outcome strategies. They aim to balance risk and reward in volatile markets.

---

Why Now? SEC and ETF Regulatory Changes

One reason ARK’s timing makes sense: the SEC has approved generic listing rules for commodity-based exchange-traded products. That means certain ETFs can be listed without requiring a full Section 19(b) review. Under the old system, a new product could take up to 240 days for approval; under generic listings, the process may shrink to around 75 days.

With the application window opening wider, ARK is moving aggressively to stake its place in a fast-growing space.

---

Crypto ETFs vs. Wallets: Cathie Wood’s View

Wood has also shared her thoughts on how crypto ETFs fit in a world with more and more digital wallets. She argues that although wallets offer control and independence, many retail and traditional investors prefer the simplicity of ETFs. “Wallets seem so complicated … they just wanna push a button,” she said.

Wood believes that even as wallet adoption rises, ETFs won’t lose their appeal. She sees them as a stable, convenient entry point into crypto that balances ease and security.

---

Market Response & Inflows

Stocks of spot Bitcoin ETFs have seen renewed momentum. On October 14, U.S. spot Bitcoin ETFs recorded a net inflow of roughly $103 million. Among them, Fidelity’s FBTC took in $133 million alone. Meanwhile, ARKB pulled in around $6.8 million.

Overall, since their launch in January 2024, spot Bitcoin ETFs have captured over $44 billion in total inflows. In contrast, spot Ethereum ETFs lag behind, largely because U.S. regulations currently prevent them from staking Ether.

---

What This Means for Investors

• More choices: Investors could soon decide between a pure Bitcoin ETF or yield/defined outcome options.

• Risk management: The “DIET” funds may appeal to those wanting downside protection in volatile markets.

• Competition heats up: ARK isn’t alone — others like Fidelity, BlackRock, and VanEck are also jockeying for position in the ETF landscape.

• Broader adoption: By simplifying access to Bitcoin via regulated ETFs, more traditional investors may enter the space.

---

Final Thoughts

 

Cathie Wood’s latest filings show ARK Invest doubling down on crypto. Rather than simply ride the Bitcoin price wave, ARK is aiming to offer structured, income-oriented, and risk-managed exposure. With regulatory tailwinds and growing investor appetite, the timing is calculated. But whether all these novel ETF proposals are approved is another question — one that may define the next chapter in institutional crypto adoption.