The State of Michigan Retirement System has broadened its investment portfolio by pouring over $10 million into ethereum exchange-traded funds (ETFs). Grayscale’s Ethereum Trust and its Ethereum Mini Trust have particularly caught the attention of the state pension fund.
Previously in July, the Michigan Retirement System revealed its investment in Ark Invest’s and 21shares’ ETF, known as ARKB, amounting to roughly $6.59 million. This holding has since grown to around $6.9 million. This investment decision closely followed Jersey City’s proclamation of pension fund investment in bitcoin ETF shares.
Matthew Sigel, Vaneck’s head of digital asset research, disclosed on Monday that the State of Michigan Retirement System holds a $10 million stake in Grayscale’s ether funds. This makes Michigan one of the top 5 holders of ETH & ETHE.
The State of Michigan isn’t the only one exploring cryptocurrency investments. The State of Wisconsin Investment Board, the firefighters’ pension fund in Houston, and Ontario’s teachers’ pension fund have also ventured into crypto-related investments.
The influx of retirement funds into digital assets such as ethereum ETFs signals a paradigm shift in traditional finance towards cryptocurrency. As state funds, city funds, and educational pension funds join the crypto bandwagon, it underscores a strategic embrace of digital assets from the more conservative financial circles, showcasing the gradual mainstreaming of cryptocurrencies.