Bracebridge Capital, a renowned hedge fund entrusted with managing the endowments of prestigious universities such as Yale and Princeton, has taken the spotlight as the top holder of Ark Invest's ARKB and BlackRock's IBIT spot bitcoin ETFs, as per its latest SEC filing.

In a recent 13F filing submitted to the Securities and Exchange Commission (SEC) dated May 10, the Boston-based Bracebridge Capital revealed substantial holdings in various bitcoin exchange-traded funds (ETFs). The firm disclosed ownership of 4,327,380 shares in Ark Invest's ARKB, 2,486,750 shares in BlackRock's IBIT, and 419,910 shares in Grayscale's GBTC. These holdings were valued at approximately $307.2 million, $100.6 million, and $26.5 million respectively, as of March 31.

These quarterly 13F filings offer insight into the stock holdings of institutional investment managers with over $100 million in equity assets under management at the conclusion of each quarter. Despite Bitcoin's price decline from around $71,200 on March 31 to approximately $61,834 at present, Bracebridge Capital's position in bitcoin ETFs remains robust.

Bloomberg ETF analyst Eric Balchunas highlighted Bracebridge Capital's significant stake in Ark Invest and BlackRock's spot bitcoin ETFs, stating that Bracebridge had become the primary owner by the reported valuation of holdings. Balchunas noted the hedge fund's ownership of ARKB surpasses even Ark Invest's own holdings, valued at $196.6 million through its Next Generation Internet and Fintech Innovation funds. Balchunas further pointed out that these bitcoin ETFs now constitute substantial holdings in Bracebridge Capital's portfolio as of March 31, with ARKB representing 61.1%, IBIT at 20%, and GBTC at 6.6%.

Beyond these ETFs, Bracebridge Capital's portfolio includes shares in bitcoin miner Riot Platforms and other stocks like Trump Media & Technology Group Corp. Balchunas also emphasized the widespread acceptance of these ETFs, with IBIT already having 250 holders in its first quarter on the market.

It is essential to note that 13F filings mandate the disclosure of long positions in U.S. equities and options, without encompassing short positions, offering only a partial view of an investment manager's overall portfolio strategy, as highlighted by community members.