Coinspeaker
Boothbay, Millennium Management and Other Major Hedge Funds Load Up on Bitcoin ETFs in Q1 2024
The quarterly 13F report with the US Securities and Exchange Commission (SEC) has revealed that some of the biggest names in the finance sector have been accumulating shares in the newly launched spot Bitcoin exchange-traded fund (ETF) in Q1 2024. This report is always filled 45 days after the end of a quarter. Institutions with over $100 million in assets are expected to reveal the details of their holdings.
One of the notable names that have acquired this digital asset is Millennium Management, an investment management firm with over $61 billion in assets under management (AUM), led by billionaire Izzy Englander. The investment company disclosed holding $2 billion worth of shares across several spot ETFs, which include over $844 million in BlackRock iShares Bitcoin Trust(IBIT), more than $800 million in the Fidelity Wise Origin Fund (FBTC), $202 million in Grayscale’s Bitcoin Trust (GBTC), and other funds in ARK/21 and Bitwise.
Similarly, Elliot Capital, another investment firm, reported that it owns a stake of close to $12 million in BlackRock’s IBIT as of the end of the first quarter of 2024.
A filing that stood out was the Boothbay Fund Management. Based on the company’s Q1 2024 13F report, it is now the largest holder of the Blackrock, Fidelity, and Bitwise ETFs. It was revealed that the fund management company owns 3.7 million shares worth $149.8 million of the Blackrock BTC ETF and 1.7 million of the Fidelity BTC ETF, amounting to $105.5 million. The company also holds another 1.1 million of Grayscale BTC, which is over $69 million, and another $50 million Bitwise Bitcoin ETF.
More so, Morgan Stanley, an American-based investment bank, is reported to own $269.9 million in Grayscale’s GBTC. This investment figure in the spot BTC ETF makes the firm one of the largest holders of GBTC. Other notable institutions that have invested in the exchange-traded fund include Aristeia Capital and Hudson Bay.
Rising Institutional Demand Driving Rapid Growth of Bitcoin ETF Space
The disclosure of top institution holdings of the BTC ETF shows that there is strong institutional demand for the digital asset, as it has been able to gather billions of dollars after its launch. We can then say that the approval of the BTC ETF is also a catalyst for the growth of the funds recorded.
The influx of funds into the newly launched ETFs shows institutional trust; hence, this could also be the beginning of more large capital flows into the BTC ecosystem. This can also go on to affect the price of the coin positively. When Bitcoin ETF inflows are positive, the market sentiment is expected to change and become more favorable, thus affecting the general perception towards BTC and other altcoins.
Although the crypto market is volatile and generally regarded as risky, the involvement of larger investors seems to have been bolstered by the sense of security that ETFs provide. They do not have to worry about regulatory issues around holding the coin, as exchange-traded funds offer safe and convenient exposure through a regulated, publicly traded system.
Boothbay, Millennium Management and Other Major Hedge Funds Load Up on Bitcoin ETFs in Q1 2024
