Global hedge fund Millennium Management has made a substantial investment in Bitcoin, dabbling nearly $2 billion across five distinct Bitcoin exchange-traded-funds (ETFs), according to its recent 13F filing with the U.S. Securities and Exchange Commission. As of the close of the first quarter of 2024, the fund reportedly held $1.94 billion in various Bitcoin ETFs.
The firm diversified its Bitcoin ETF holdings among five key products – ARK 21Shares Bitcoin ETF, Bitwise Bitcoin ETF, Grayscale Bitcoin Trust, iShares Bitcoin Trust, and Fidelity Wise Origin Bitcoin ETF. The largest allocation went towards BlackRock’s Bitcoin fund, with Millennium parking over $844 million into it. Fidelity’s fund was a close second with a worth of over $806 million.
Bloomberg ETF analyst Eric Balchunas referred to Millennium as the “king” of Bitcoin ETF holders, highlighting the scope of their position. Balchunas pointed out that Millennium has 200 times the exposure of the average new ETF holder among the top 500. He also remarked that around 60% of spot Bitcoin ETF purchasers were investment consultancy firms, while about 25% were hedge funds.
The recent wave of 13F filings has offered insights into the entities investing in Bitcoin ETFs, which has sparked a bullish outlook for Bitcoin’s future, according to Bitwise’s chief investment officer, Matt Hougan. In a recent memo to investors, Hougan shared that the 13F filings had provided valuable information about the buyers of the funds. He stated that institutional interest in the products holds great potential for Bitcoin’s prospects.
As Hougan pointed out, “A lot of professional investors own Bitcoin ETFs,” drawing particular attention to major investors such as Hightower Advisors, Bracebridge Capital, and Cambridge Investment Research. Hougan predicts that by the filing deadline on May 15, over 700 professional firms could boast a total Asset Under Management (AUM) of almost $5 billion. In related news, the State of Wisconsin revealed on May 14 that it held a total investment of $164 million across two funds offered by Grayscale and BlackRock.