UBS, Bracebridge, Rothschild: These institutions invest in BTC
Public SEC filings are beginning to reveal which big names have invested in U.S. Bitcoin ETFs since January. These include well-known institutions such as UBS, Rothschild and the prestigious hedge fund Bracebridge. A government fund also acquired BTC.
UBS, Bracebridge, Rothschild: These institutions invest in BTC
More and more institutional investors are betting on Bitcoin. It was recently announced, among other things, that the major Swiss bank UBS acquired BTC via US ETFs. According to public data from the US Securities and Exchange Commission (SEC), UBS acquired shares in BlackRock’s iShares Bitcoin Trust (IBIT) and the ProShares Bitcoin Strategy ETF (BITO).
The combined value of the acquired shares is $827,000. Compared to total assets of $1,117 billion, investments are comparatively small. The major US banks JPMorgan and Wells Fargo also invested similarly cautiously in Bitcoin over the spring.
Edmond de Rothschild Holding, also based in Switzerland, also took advantage of the new opportunity to invest in Bitcoin through exchange-traded products. It was only in January that US authorities approved the country’s first Bitcoin spot ETFs.
Edmond de Rothschild then acquired shares in market leaders IBIT and the Grayscale Bitcoin Trust (GBTC) worth $3.6 million.
The US-based hedge fund Bracebridge Capital launched significantly larger investments . A total of 435 million US dollars flowed into Bitcoin through the investment company.
Bracebridge acquired shares in the ARK 21Shares Bitcoin ETF (ARKB), IBIT and GBTC. Bracebridge invested by far the largest amount in the comparatively small Ark ETF – $307 million.
ETF expert Eric Balchunas believes Bracebridge’s spending is extremely generous. The company is more willing to take risks than the competition.
“Bracebridge has achieved a new high. It is the largest owner of ARKB and IBIT. They basically went wild,” Balchunas wrote on Twitter .
A government fund also relies on Bitcoin
In the USA, at least one government fund sometimes relies on Bitcoin. The State of Wisconsin Investment Board (SWIB ), SEC data shows, acquired $162 million in Bitcoin through IBIT and GBTC.
The SWIB manages the pension fund of the US state of Wisconsin, which acts as a pension fund for state employees. He holds assets worth $132.4 billion.
According to Eric Balchunas, this move could lead to more copycats among institutions. In the USA, pension funds have capital totaling $24 trillion. Balchunas said on Twitter that SWIB stands out as a bold crypto investor.
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Institutional investors usually only dare to invest in new investments once they have been on the market for around a year. Previously, investment products were often too risky due to insufficient liquidity.
“That’s a good sign. There is more to be expected. Institutions move like herds,” explained Balchunas .
His colleague James Seyffart, however, warns against excessive euphoria. Many asset managers only act as market makers. They provide their liquidity in order to make profits through constant buying and selling. Shares in Bitcoin ETFs purchased can therefore quickly disappear again. It doesn’t have to be a long-term or confident investment.
