ETFs
Morgan Stanley and Millennium Management Invest Millions in Bitcoin ETFs – Here’s Why They’ll Buy More – DL News
- At least 13 different banks and hedge funds have disclosed their Bitcoin holdings in their regulatory filings.
- Bitwise CIO says purchases are just the beginning.
Wall Street heavyweight firms Morgan Stanley and Millennium Management purchased millions of Bitcoin ETFs last quarter, new documents reveal.
And analysts say more buying is on the way as pension funds and others begin investing in Bitcoin spot exchange-traded funds, which launched in January after receiving approval from the Securities and Exchange Commission.
According to a 13F filing Wednesday, Morgan Stanley bought $270 million in Grayscale Investments’ Bitcoin product last quarter.
Millennium, which managed more than $61 billion in assets as of December, bought about $2 billion spread across several different Bitcoin ETFs, including $844 million in BlackRock’s offering and $806 million in Fidelity’s fund.
A hedge fund like Millennium likely uses the position as part of a broader trading strategy and not necessarily to hold the asset long term.
Apollo Management, Elliott Investment Management, Hunting Hill, Item72 and at least seven others also purchased shares in Bitcoin ETFs for cash.
On Tuesday, the State of Wisconsin Investment Board, which manages the state’s pension funds, revealed he had purchased $100 million worth of shares in BlackRock’s Bitcoin ETF.
The arrival of such a large institution for a new product on the market was a surprise, said Eric Balchunas, analyst at Bloomberg Intelligence.
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“Good sign, expect more because institutions tend to move in herds,” he said.
Matt Hougan, chief investment officer of crypto investment firm Bitwise, said the Bitcoin buying spree is just the beginning.
“About six months after the initial allocation, many firms begin to spread the allocation across their entire client portfolio, with allocations ranging from 1 to 5 percent of the portfolio,” he wrote in a communicated. job.
Liam Kelly is a DeFi correspondent at DL News. Do you have any advice? Email to liam@dlnews.com.