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JP Morgan and Wells Fargo are the latest major banks to disclose exposure to Bitcoin via ETFs
JP Morgan and Wells Fargo are the latest major global banks to disclose exposure to Bitcoin via some of the spot BTC exchange-traded funds launched in January.
The two lenders filed their 13F filings on May 10, revealing a modest investment in Bitcoin ETFs.
JP Morgan disclosed $731,246 in spot Bitcoin ETF investments at BlackRock IBITBit by bit BITBFidelity FBTCand Grayscale GBTC. Most of the amount – $477,425 – was invested in IBIT. Meanwhile, Wells Fargo reported a $141,817 investment in Grayscale’s GBTC during the first trimester.
Previous information revealed that both BNP Paribas and BNY Mellon have also invested amounts in Bitcoin ETFs, signaling a growing trend among traditional financial institutions despite modest exposures.
Additionally, other large banks, including Morgan Stanley and UBS, have iindicated an intent to allow clients to invest in spot Bitcoin ETFs. However, as of this writing, the two lenders have yet to disclose direct exposure to Bitcoin.
Industry experts, including BlackRock’s head of digital assets, believe the trend of institutional flows into Bitcoin ETFs is only just beginning with volume expected to increase as more sophisticated money, such as sovereign wealth funds, begins to flow in. in the field.
Black Rock 13F
Black rock disclosed a $6.6 million investment in its IBIT fund in its May 10 13F filing.
The company’s strategy follows that of other spot Bitcoin ETF issuers who have similarly invested in their funds. Ark Investing it holds $206.4 million of it ARKB fund, while Van Eck holds $98,000 of it HODL finance.
BlackRock’s latest investment comes alongside solid performance for BlackRock’s IBIT. The fund has the highest cumulative inflows of any Bitcoin spot ETF with $15,490 and is the second largest Bitcoin spot ETF in terms of assets under management.
BlackRock’s IBIT also set a new record reaching $10 billion in AUM. Bloomberg ETF Analyst Eric Balchunas commented on the trend, observing:
“The record speed for an ETF to reach $10 billion in assets was held by JEPQ which did so in 647 trading days… IBIT arrived in 49 days, FBTC in 77 days.”
TradFi enters Bitcoin
Chicago-based hedge fund CTC Alternative Strategies announced a $27.7 million investment in IBIT on May 9.
Other financial institutions and companies that have recently disclosed investments in Bitcoin spot ETFs include Hightower Advisors, US Bancorp, Southern state, Susquehanna International Group, Burkett Financial ServicesAND Hereditary asset management.
The companies above are some of hundreds of other firms that have made similar disclosures in their 13F filings since Bitcoin spot ETFs launched in January.
According to Fintel data, over 240 companies have invested in IBIT, while over 130 companies have invested in FBTC. More than 467 companies have invested in Grayscale’s GBTC, which existed before its conversion to an ETF in January.