The State of Michigan Retirement System holds 110,000 shares in ARK 21Shares Bitcoin ETF (ARKB), which amounts to roughly $6.6 million, according to a July 26 filing with the United States Securities and Exchange Commission (SEC).
Bloomberg’s senior ETF analyst Eric Balchunas noted that the ARKB shares purchase represents a significant step in the adoption of the spot Bitcoin exchange-traded funds (ETFs) by pension funds in the United States. He said:
“Michigan’s Pension bought up some ARKB (although we have it valued at $7.4 million), which is small percentage-wise for them, but it’s a start. They are now the third pension to report owning a Bitcoin ETF.”
The purchase makes the Michigan Retirement System the latest pension fund to add Bitcoin to its holdings. Earlier this year, the State of Wisconsin Investment Board (SWIB) reported a $164 million investment in Bitcoin through BlackRock’s IBIT ETF and Grayscale’s Bitcoin Trust (GBTC).
More recently, Jersey City Mayor Steven Fulop revealed that the city’s pension fund is considering investing in Bitcoin through ETFs.
Meanwhile, market observers said the SEC’s approval of spot Bitcoin ETFs on US exchanges in January has encouraged public pension funds to consider such investments.
Chateau Capital co-founder and COO Alex Valaitis stated that these investment trends are likely to continue. He predicted that by 2028, all 50 states in the United States will hold crypto in their state pension funds.
He added:
“This means that 80%+ of American adults could be holding crypto (directly or indirectly) by the time the next election rolls around. The same way politicians try to brag about their impact on the stock market, they will soon be trying to brag about their impact on the crypto markets.”
Bitcoin ETFs in the US have recorded strong performance since their launch, with the funds generating over $17 billion in inflows, according to Farside investor data.
The post Michigan pension fund adds $6.6 million in Bitcoin ETF holdings appeared first on CryptoSlate.