{"id":451440,"date":"2024-11-04T18:23:43","date_gmt":"2024-11-04T18:23:43","guid":{"rendered":"https:\/\/cryptoslate.com\/?p=451440"},"modified":"2024-11-04T18:23:43","modified_gmt":"2024-11-04T18:23:43","slug":"michigan-state-pension-fund-reports-11-million-exposure-to-ethereum-etfs","status":"publish","type":"post","link":"https:\/\/cryptoslate.com\/michigan-state-pension-fund-reports-11-million-exposure-to-ethereum-etfs\/","title":{"rendered":"Michigan state pension fund reports $11 million exposure to Ethereum ETFs"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">The State of Michigan Retirement System disclosed over $11 million in exposure to spot Ethereum (<a href=\"https:\/\/cryptoslate.com\/coins\/ethereum\/\">ETH<\/a>) exchange-traded funds (ETF) in its latest 13-F filing.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As a result, Michigan became the first state to invest in Ethereum and currently holds a larger position in Ethereum ETFs, compared to the $7 million invested in spot Bitcoin ETFs earlier this year.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As of Sept. 30, the Michigan state pension fund held 460,000 <a href=\"https:\/\/cryptoslate.com\/companies\/grayscale-investments\/\">Grayscale<\/a> Ethereum Fund (<a href=\"https:\/\/cryptoslate.com\/products\/grayscale-ethereum-trust\/\">ETHE<\/a>) shares, equivalent to $10 million. It also held 460,000 shares of the asset manager\u2019s <a href=\"https:\/\/cryptoslate.com\/products\/grayscale-ethereum-mini-trust\/\">Ethereum Mini Trust<\/a>, which amounted to $1.1 million.<\/span><\/p>\n<p><span style=\"font-weight: 400;\"> <a href=\"https:\/\/cryptoslate.com\/companies\/vaneck\/\">VanEck<\/a> head of digital assets research Matthew Sigel\u00a0<\/span><strong><a href=\"https:\/\/x.com\/matthew_sigel\/status\/1853463874772643926\">highlighted<\/a><\/strong><span style=\"font-weight: 400;\"> that this makes the state pension the fourth and second largest holder of these funds' shares, respectively.<\/span><\/p>\n<h2><strong>A &#8216;big win' for Ethereum<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">The 13-F Form revealed that the Michigan pension fund <\/span><strong><a href=\"https:\/\/cryptoslate.com\/michigan-pension-fund-adds-6-6m-in-bitcoin-etf-holdings\/\">still holds<\/a><\/strong><span style=\"font-weight: 400;\"> its shares of ARK <a href=\"https:\/\/cryptoslate.com\/companies\/21shares\/\">21Shares<\/a> Bitcoin ETF (<a href=\"https:\/\/cryptoslate.com\/products\/ark-21shares-bitcoin-etf\/\">ARKB<\/a>) reported in their latest 13-F form filing. As the Bitcoin (<a href=\"https:\/\/cryptoslate.com\/coins\/bitcoin\/\">BTC<\/a>) price increased, the holdings represented nearly $7 million as of Sept. 30.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Notably, with the addition of the Ethereum ETFs, the state treasury had more exposure to ETH than BTC at the end of the third quarter.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Bloomberg senior ETF analyst <a href=\"https:\/\/cryptoslate.com\/people\/eric-balchunas\/\">Eric Balchunas<\/a> said the state pension fund's investment was<\/span><span style=\"font-weight: 400;\"> a \u201cpretty big win\u201d for Ethereum. He noted that the fund decided to add more exposure to ETH despite its lackluster yearly price performance compared to BTC.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Furthermore, in addition to the Michigan pension fund, the State of Wisconsin Investment Board <\/span><strong><a href=\"https:\/\/cryptoslate.com\/state-of-wisconsin-investment-board-titan-global-invest-in-spot-bitcoin-etfs\/\">reported a $164 million exposure<\/a><\/strong><span style=\"font-weight: 400;\"> to Bitcoin via ETFs. <\/span><strong><a href=\"https:\/\/cryptoslate.com\/jersey-city-pension-fund-amends-regulatory-documents-to-include-bitcoin-etf-exposure\/\">Jersey City<\/a><\/strong><span style=\"font-weight: 400;\"> and <\/span><strong><a href=\"https:\/\/cryptoslate.com\/florida-cfo-advocates-adding-bitcoin-to-state-pension-funds-for-strategic-growth\/\">Florida<\/a><\/strong><span style=\"font-weight: 400;\"> politicians also publicly mentioned adding BTC to their pension funds this year.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This is likely why Balchunas considered Ethereum ETFs getting attention from a state pension fund as a big win.<\/span><\/p>\n<h2><strong>Tables about to turn<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">The disparity in performance between Ethereum and Bitcoin is also witnessed when comparing their ETF inflows. US-traded Bitcoin ETFs <\/span><a href=\"https:\/\/farside.co.uk\/btc\/\">registered<\/a><span style=\"font-weight: 400;\"> $24.2 billion in yearly inflows, while their Ethereum counterparts <\/span><strong><a href=\"https:\/\/farside.co.uk\/eth\/\">showed<\/a><\/strong><span style=\"font-weight: 400;\"> nearly $480 million in negative net flows.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Nate Geraci, CEO of the ETF Store, <\/span><a href=\"https:\/\/x.com\/NateGeraci\/status\/1764117615138496831\">predicted<\/a><span style=\"font-weight: 400;\"> in March that Ethereum ETFs would be &#8220;a bigger deal\u201d than the market expected. He explained that Bitcoin ETF demand was also severely underestimated, thus Ethereum ETFs could suffer the same.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Geraci reiterated his beliefs on Nov. 3, <\/span><strong><a href=\"https:\/\/x.com\/NateGeraci\/status\/1853239218308317521\">adding<\/a><\/strong><span style=\"font-weight: 400;\"> that it is only &#8220;a matter of time&#8221; before US-traded Ethereum ETF inflows start picking up.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The State of Michigan Retirement System disclosed over $11 million in exposure to spot Ethereum (ETH) exchange-traded funds (ETF) in its latest 13-F filing. As a result, Michigan became the first state to invest in Ethereum and currently holds a larger position in Ethereum ETFs, compared to the $7 million invested in spot Bitcoin ETFs [&hellip;]<\/p>\n","protected":false},"author":1511,"featured_media":451444,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1,78665,77968],"tags":[],"post_folder":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v21.9 (Yoast SEO v21.9.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Michigan state pension fund reports $11 million exposure to Ethereum ETFs<\/title>\n<meta name=\"description\" content=\"The exposure surpassed the pension fund&#039;s $7 million investment in Bitcoin, which was considered a &#039;big win&#039; for Ethereum ETFs.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link 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