Bitwise, a crypto ETF issuer, has registered significant investment in its Bitcoin and Ethereum ETFs from a large Registered Investment Advisor (RIA). This follows a broader trend of increased institutional adoption of crypto ETFs. Meanwhile, the asset manager’s Bitcoin and Ethereum ETFs saw significant inflows on Friday.
Bitwise Bitcoin & Ethereum ETFs Attracts Investment From RIA
Bitwise CEO Hunter Horsley revealed on X that the RIA had accumulated several million dollars worth of their Bitcoin ETF (BITB) and Ethereum ETF (ETHW). Furthermore, the RIA has also invested in the Bitwise 10 Crypto Index (BITW) ETFs across client portfolios. The latest announcement comes at a time when BTC ETFs are experiencing record-breaking inflows.
On Friday, August 23, Bitcoin ETF flows were positive for $252 million, according to Farside UK data. It brings the weekly total to $506.4 million. This surge in investment reflects the strong confidence of institutional and retail investors in the crypto market as Fed rate cuts inch closer. Notably, BlackRock, the world’s largest asset manager, reported $86.8 million in BTC ETF inflows while Fidelity attracted $64 million.
Moreover, Bitwise saw robust $42.3 million in inflows, reinforcing its position as a key player in the crypto ETF space. Other notable players included Ark Invest with $23.8 million, VanEck with $14.4 million, and the BTC ETF with $50.8 million. In contrast, Grayscale’s Bitcoin Trust (GBTC) experienced $35.6 million in outflows.
While Bitcoin ETFs have garnered substantial interest, Ether ETFs have faced a more challenging environment. On August 23, ETH ETFs saw net outflows of $5.7 million, contributing to a weekly total of $44.5 million in outflows. Grayscale’s Ethereum Trust (ETHE) led the outflows with $9.8 million.
Despite the overall negative flows, Bitwise’s ETH ETF continued to attract investment. ETHW saw a modest inflow of $1.4 million, and VanEck’s ETHV the the charge with $2 million in inflows., signaling confidence from certain segments of the market.
Institutional Adoption of Bitcoin ETFs Surges
The substantial inflows into BTC ETFs reflect a broader trend of increasing institutional adoption. Goldman Sachs, in a recent 13F filing, disclosed that it held significant positions in several Bitcoin ETFs as of June 30. The bank reported $238.6 million in iShares Bitcoin Trust, $79.5 million in Fidelity’s FBTC, and $35.1 million in Grayscale BTC, among other holdings.
Similarly, Morgan Stanley revealed earlier this month that it held 5.5 million shares of BlackRock’s iShares Bitcoin Trust, valued at $190 million. It also invested in Ark 21Shares and Grayscale’s ETFs. This rapid growth in institutional adoption is further highlighted by Bitwise’s Chief Investment Officer, Matt Hougan.
In a recent thread on X (formerly Twitter), Hougan emphasized that Bitcoin ETFs have drawn the fastest-growing inflows of all time, with $17.5 billion pouring in since their launch. This milestone surpasses the previous record held by the Nasdaq-100 QQQs.
Hougan’s analysis challenges the narrative that Bitcoin spot ETFs are primarily driven by retail investors. He noted that institutional interest is not only present but also growing at an unprecedented rate. Moreover, he revealed that Bitcoin ETFs have attracted three times the number of institutional holders within the first two quarters compared to the QQQs during a similar timeframe.
Kritika Mehta
Kritika boasts over 2 years of experience in the financial news sector. Currently working as a crypto journalist at Coingape, she has consistently shown a knack for blockchain technology and cryptocurrencies. Kritika combines insightful analysis with a deep understanding of market trends. With a keen interest in technical analysis, she brings a nuanced perspective to her reporting, exploring the intersection of finance, technology, and emerging trends in the crypto space.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Pine Ridge Advisers, a New York-based registered investment advisor (RIA), has allocated a substantial $205 million across various Spot Bitcoin ETFs. These funds include the ones managed by industry giants BlackRock, Fidelity, and Bitwise. This event adds to the soaring institutional adoption of Bitcoin ETFs.
New York RIA Invests In IBIT, FBTC, BITB
The above-mentioned allocation represents approximately 23% of Pine Ridge Advisers’ total assets under management (AUM). Moreover, Eric Balchunas, Senior ETF analyst at Bloomberg, shed light on this development. In a post on X, he stated, “Another big holder just rolled in Pine Ridge Advisers, which owns $205m of $IBIT $FBTC and $BITB which accounts for 23% of their total aum. Likely some kind of arb trade tho vs say an RIA putting 1/4 of grandma’s portfolio in btc.”
This move underscores a growing trend among traditional financial institutions and RIAs to venture into the burgeoning crypto market. In addition, the decision to spread the investment across various Bitcoin ETFs managed by different firms such as BlackRock, Fidelity, and Bitwise indicates a diversified approach by Pine Ridge Advisers.
According to the snapshot shared by Balchunas on X, the New York advisor has allocated the biggest stake in Fidelity Wise’s FBTC. The FBTC Bitcoin ETF has attracted $93.38 million worth investments from Pine Ridge Advisers, which accounts for nearly 11% of its portfolio.
On the other hand, BlackRock’s IBIT ETF accounts for a sizeable stake of $83.17 million. Whilst, Bitwise’s BITB ETF boasts a share of $29.26 million in the New York RIA’s portfolio. Hence, the total BTC ETF investments amount to a whopping $205.81 million.
Also Read: Ex-BlackRock Exec Joins Vanguard Sparking Speculations Over Bitcoin ETF Move
Canadian Banks Adopt Bitcoin ETFs
Canadian banking behemoths, Scotia Bank and Toronto Dominion Bank (TD Bank), have joined the U.S. Spot Bitcoin ETF space with investments totaling millions. Scotiabank disclosed over $1.5 million across three major BTC ETFs: BlackRock’s IBIT, Grayscale Bitcoin Trust (GBTC), and Fidelity Wise’s FBTC.
According to the latest 13F filing, Scotiabank’s investments include $512,988 in Fidelity Wise’s ETF, $486,472 in GBTC. Moreover, it has allocated the largest share of $580,339 in BlackRock’s IBIT. Hence, Scotiabank’s total BTC-based ETF investments amount to $1.57 million.
Meanwhile, TD Bank, second-largest bank in Canada, allocated around $121,410 in BlackRock’s IBIT ETF. Although modest, this move represents a significant step for the traditionally conservative institution, known for its cautious investment strategies. Furthermore, it also considered investing $484,500 in the ProShares Bitcoin Strategy ETF (BITO).
Also Read: Bitcoin ETF Sees $100M Influx Signaling Positive Road Ahead
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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