Key Points
- The State of Wisconsin Investment Board has increased its stake in BlackRock’s iShares Bitcoin Trust.
- The board has exited its position in the Grayscale Bitcoin Trust, indicating a shift in investment strategy.
The State of Wisconsin Investment Board (SWIB) has upped its investment in BlackRock’s iShares Bitcoin Trust, according to a recent filing with the U.S. Securities and Exchange Commission (SEC).
An SEC filing dated August 14 reveals that the board now possesses nearly 2.9 million shares in the Bitcoin Trust, valued at around $99.1 million.
Investment Strategy Shift
SWIB’s holdings in the Bitcoin Trust increased by 447,651 shares, totaling 2,898,051 shares. This indicates that the board spent roughly $14 million buying additional shares.
This action signifies a change in SWIB’s investment approach as it has completely divested its holdings in the Grayscale Bitcoin Trust, where it previously owned 1,013,000 shares.
Confidence in Bitcoin
The public funds managing board bought over a million Grayscale GBTC shares earlier this year, valued at more than $63.3 million. However, they now hold BlackRock’s Bitcoin ETF.
The increase in Bitcoin Trust holdings indicates a growing institutional trust in Bitcoin. SWIB’s decision to invest directly in Bitcoin through spot ETFs underlines the increasing institutional interest in Bitcoin-backed products and could potentially influence other institutions and government entities to do the same.
Despite Bitcoin’s recent price volatility, the continued investment in spot Bitcoin ETFs demonstrates a strong faith in the cryptocurrency’s long-term prospects.
