Investing in Bitcoin: Smaller Funds Dominate, Institutional Investors Stay on the Sidelines
From an investment perspective, bitcoin mainly exists in funds held by smaller investors as larger investors remain a bit wary, according to Reuters. Jeremy Millar, the founder and managing partner at Ledger Partners in London, estimated 50% to 90% of bitcoin’s total $6.4 billion market is invested in “near institutional” funds held by individuals at hedge funds and family offices. The largest fund to hold bitcoin is the Pantera Bitcoin Fund, a $160 million hedge fund. The currency’s earlier ties to gambling and criminal websites did not endear it to traditional investors. Millar did not....
Related News
The tides are turning in the cryptocurrency world, with institutional investors making a big splash in Bitcoin exchange-traded funds (ETFs) while retail investors seem content to bob on the sidelines. A recent report by IntotheBlock paints a picture of a two-tiered market, where hedge funds and even pensions are accumulating Bitcoin through ETFs, but the […]
Apollo Capital CIO Henrik Andersson said there will come a point when not investing in crypto will be a “career risk.” Henrik Andersson, CIO of crypto asset fund manager Apollo Capital believes institutions may soon “flip” on their conservative stance towards crypto. Speaking to Cointelegraph, the Melbourne-based crypto fund manager said that while institutional interest in crypto has been slow in picking up, particularly in Australia, there are a lot of players that are waiting for the right moment to strike. Andersson admitted that major institutional investors in Australia, particularly....
As much as $415 billion worth of investments could flow into cryptocurrencies as new laws governing German Spezialfonds go into effect. Beginning on August 2, 2021, German institutional funds will be able to hold up to 20% of their assets in cryptocurrencies, possibly setting the stage for wider mainstream acceptance of Bitcoin (BTC) and other crypto assets by the nation’s pension funds. As Bloomberg reports, the new law alters fixed investment rules governing Spezialfonds, also known as special funds, which are only accessible to institutional investors such as pension funds and insurers.....
Institutional Bitcoin products have recorded outflows for nine of the past ten weeks, suggesting many investors remain bearish. Institutions are continuing to sit on the sidelines of the Bitcoin markets, with BTC investment products volumes dropping to just 38% of its year-to year-to-date (YTD) average over the past week.According to CoinShares’ July 19 Digital Asset Fund Flow Weekly report, Bitcoin investment products generated roughly $3.9 billion worth of daily trade from July 12 to July 16, down substantially from 2021’s average of nearly $10 billion.However, the report’s authors do....
Bitcoin investment by institutions is now a common occurrence. This was not so in the previous years. Institutional investors have been investing in cryptos for a while. But mostly at a conversation rate. 2020 changed all of that. The bull that started in 2020 saw more institutional money coming into the market. Predictions pointed towards […]