Key Takeaways:
The State of Michigan revealed that they have invested a substantial amount in the cryptocurrency exchange-traded fund (ETF) for Bitcoin and Ethereum. They revealed these details in a 13 F filing with the US Securities and Exchange Commission (SEC).
This is a strategic move by the Michigan Retirement System that manages approximately $144 million in the pension fund for the employees. This is a significant institutional investment in their digital assets.
Investment in Ethereum ETF
The Michigan State Pension Fund became the first state pension fund to invest in the Ethereum Exchange Traded Fund. They disclosed an investment amount of over $6.9 million in the ARK/21 shares of Bitcoin ETF, equating to a total of 110,000 shares of the fund.
The first state pension fund that invests in an exchange-traded fund that holds Ethereum. This investment was a part of the diversification of their crypto portfolio. According to Mathew Sigel, head of the digital assets research at VanEc k, Michigan has become one of the top five holders of Ethereum and Grayscale Ethereum Trust(ETHE). This significant investment decision was highlighted by the head of digital asset research Mathew Sigal.
This deal made the Ethereum ETF reach $10 million by passing its Bitcoin ETF investments. However, the State Investment Board of Wisconsin manages $156 billion for its retirement system and has previously disclosed the holdings in Bitcoin ETF including the Greyscale investment trust and Black Rocks iShares Bitcoin trust. These disclosures were present in the 13F filings that indicate institutional investments that are made approximately 45 days after the end of each quarter.
Spot Bitcoin ETF reaches its 6 Months High
The increased demand for spot Bitcoin ETF has reached its six-month high. It has signaled a strong interest in Bitcoin investments. The Ethereum did not replicate its success in the US market.
In November Bitcoin faced a lot of challenges despite its growth in October. As of November 1. Bitcoin has reported a net outflow of $54.9 million. Half of this outflow is accounted for by Fidelity’s FTBC totaling to an amount of approximately $25.64 million. By that time a significant drop of $24.13 million is experienced by ARK and 21 shares of ARKB.
Greyscales GBTC that have been traditionally associated with capital outflows indicated a relative stabilization compared to the previous trend by recording an outflow of $5.51 million. The most interesting factor is that BlackRock iShares Bitcoin Trust did not register any inflow or outflow on November 1. It took a break after fluctuations of capital for 14 days. On October 30 the capital fluctuations experienced by IBIT was $872 million. The Grayscale Ethereum Trust (ETHE) represents a fractional ownership of Ethereum held by Greyscale on behalf of its trust’s shareholders. Indirect exposure of holding a token is provided by each share.
Read More: Will Dogecoin (DOGE) Hit $1 If Trump Wins?
