ETFs
JP Morgan and Wells Fargo are the latest major banks to disclose their exposure to Bitcoin via ETFs
JP Morgan and Wells Fargo are the latest major global banks to disclose their exposure to Bitcoin through some of the BTC spot exchange-traded funds launched in January.
Both lenders filed their 13F disclosures on May 10, revealing modest investment in Bitcoin ETFs.
J.P. Morgan disclosed $731,246 spot Bitcoin ETF investments in BlackRock I BITEBitwise BITBLoyalty FBTCand in grayscale GBTC. The majority of the amount – $477,425 – was invested in IBIT. Meanwhile, Wells Fargo announced a $141,817 investment in Grayscale’s GBTC during the first trimester.
Previous revelations revealed that both BNP Paribas and BNY Mellon have also invested sums in Bitcoin ETFs, signaling a growing trend among traditional financial institutions despite modest exposures.
Additionally, other major banks, including Morgan Stanley and UBS, haveindicated an intention to allow customers to invest in spot Bitcoin ETFs. However, both lenders have yet to disclose their direct exposure to Bitcoin at the time of publication.
Industry experts, including BlackRock’s head of digital assets, believe the trend of institutional flows into Bitcoin ETFs is only just beginning, with volume expected to increase as more sophisticated funds, like sovereign wealth funds, begin to enter the area.
Black rock 13F
black rock disclosed a $6.6 million investment in its own IBIT fund in its May 10 13F filing.
The company’s strategy follows that of other spot Bitcoin ETF issuers who have also invested in their own funds. Ark Invest holds $206.4 million of its ARKB funds, while Van Eck holds $98,000 of his HODL funds.
BlackRock’s latest investment comes with strong performance for BlackRock’s IBIT. The fund has the highest cumulative inflows of any spot Bitcoin ETF, at $15,490, and is the second largest spot Bitcoin ETF by assets under management.
BlackRock’s IBIT also set a new record by reaching $10 billion in assets under management. Bloomberg ETF Analyst Eric Balchunas commented on the trend, noting:
“The record speed for an ETF to reach $10 billion in assets was held by JEPQ which did it in 647 trading days…IBIT arrived in 49 days, FBTC in 77 days.”
TradFi enters Bitcoin
Chicago-based hedge fund CTC Alternative Strategies announced a $27.7 million investment in IBIT on May 9.
Other financial institutions and companies that have recently disclosed their investments in spot Bitcoin ETFs include Hightower Advisors, American Bank, Southern State, Susquehanna International Group, Burkett Financial ServicesAnd Legacy asset management.
The companies above are just a few of hundreds of other companies that have made similar disclosures in their 13F filings since spot Bitcoin ETFs went live in January.
According to Fintel data, more than 240 companies have invested in IBIT, while more than 130 companies have invested in FBTC. More than 467 companies have invested in Grayscale’s GBTC, which existed before its conversion to an ETF in January.