Wall Street Giants Goldman Sachs and Morgan Stanley reveal their exposure to BTC ETFs in Q2, holding $418 million and $188 million in Bitcoin ETFs respectively.
Goldman Sachs and Morgan Stanley at the forefront
Prevalence of BlackRock ETFs
Accelerated institutional adoption
Movement of pension funds and hedge funds
Institutional interest in Bitcoin ETFs continues to grow, with Wall Street giants Goldman Sachs and Morgan Stanley increasing their exposure to these products.
According to a recent report submitted to the U.S. Securities and Exchange Commission, investment advisors held over $4.7 billion in Bitcoin ETFs at the end of the second quarter of 2024.
Goldman Sachs declared holding $418 million in Bitcoin ETFs for its clients as of June 30, marking a notable advancement for such an influential institution. Meanwhile, Morgan Stanley revealed a $188 million position, slightly down from the $275 million held three months earlier, primarily liquidating its positions in Grayscale’s GBTC.
Both institutions concentrated a significant portion of their investments on BlackRock’s iShares Bitcoin Trust (IBIT), now the largest Bitcoin ETF in the market. However, they also diversified their portfolios by acquiring shares in other funds, including Fidelity’s Wise Origin Bitcoin ETF and Invesco’s Galaxy Bitcoin ETF.
The accelerated adoption of Bitcoin ETFs by institutions is remarkable. Nate Geraci, President of ETF Store, highlighted the speed at which institutional investors turned to these products.
Pension funds and hedge funds have also strengthened or adjusted their positions in Bitcoin ETFs. For example, the Wisconsin Pension Fund doubled its participation in BlackRock’s IBIT, increasing its holdings to nearly $99 million at the end of June. On the other hand, the fund liquidated all its shares of Grayscale Bitcoin Trust, which were worth $63.7 million at the end of the first quarter.
Although not directly investing in Bitcoin ETFs, the National Pension Service of South Korea revealed a $34 million investment in MicroStrategy stocks.
