Millennium Management, a global hedge fund, has made a significant investment in Bitcoin, allocating nearly $2 billion across five different Bitcoin exchange-traded funds (ETFs), as disclosed in its recent 13F filing with the U.S. Securities and Exchange Commission. By the end of the first quarter of 2024, the fund reportedly held $1.94 billion in various Bitcoin ETFs.

The firm diversified its holdings among five main products – ARK 21Shares Bitcoin ETF, Bitwise Bitcoin ETF, Grayscale Bitcoin Trust, iShares Bitcoin Trust, and Fidelity Wise Origin Bitcoin ETF. The largest portion was invested in BlackRock’s Bitcoin fund, with over $844 million, followed closely by Fidelity’s fund with over $806 million.

Bloomberg ETF analyst Eric Balchunas referred to Millennium as the dominant player in Bitcoin ETF holdings, emphasizing the scale of their position. He noted that Millennium has 200 times the exposure of the average new ETF holder among the top 500. Balchunas also mentioned that approximately 60% of spot Bitcoin ETF purchasers were investment consultancy firms, while about 25% were hedge funds.

The recent surge in 13F filings has provided insights into the entities investing in Bitcoin ETFs, sparking optimism about Bitcoin’s future, according to Bitwise’s chief investment officer, Matt Hougan. In a recent investor memo, Hougan highlighted the importance of the filings in understanding the buyers of the funds, suggesting that institutional interest holds significant promise for Bitcoin’s outlook.

Hougan noted that many professional investors own Bitcoin ETFs, citing major investors like Hightower Advisors, Bracebridge Capital, and Cambridge Investment Research. He projected that by the filing deadline on May 15, over 700 professional firms could collectively manage almost $5 billion in assets. In related news, the State of Wisconsin disclosed on May 14 that it had invested a total of $164 million across two funds offered by Grayscale and BlackRock.