Michigan adds $6.6m in Bitcoin ETFs to pension fund
The State of Michigan Retirement System has invested $6.6 million in ARK 21Shares’ ARKB spot Bitcoin exchange-traded fund.
The ETF investment, disclosed in a 13-F form filed with the SEC, represents a small fraction — 0.004% — of the state’s substantial $143.9 billion pension fund.
Michigan’s decision reflects a broader trend of institutional adoption of Bitcoin (BTC), following the lead of other states.
The State of Wisconsin Investment Board recently reported a $99 million Bitcoin investment through BlackRock’s IBIT ETF.
Jersey City has also announced intentions to add Bitcoin ETFs to its pension fund, with Mayor Steven Fulop expressing strong support for crypto investments.
Institutional and state investment
The surge in institutional interest in Bitcoin ETFs is striking. Since the U.S. Bitcoin Spot ETF launch in January, the market has gained substantial traction, with a $75 million influx recorded in just the past two days.
The decision to include Bitcoin in Michigan’s pension fund portfolio represents a major move towards an institutional emphasis on Bitcoin. There are talks of the United States adding a Strategic Bitcoin reserve.
If the United States were to adopt Bitcoin as a strategic reserve asset, it could leverage its position as the largest nation-state holder of Bitcoin and would involve the U.S. Treasury holding significant amounts of Bitcoin as part of its reserve portfolio, similar to how they already do with gold or foreign currencies.
As more state pension funds and traditional financial institutions diversify their portfolios with digital assets, the mainstream adoption of cryptocurrencies appears to be gaining momentum.
