Michigan expands crypto portfolio: $6.6M in Bitcoin and $11M in Ethereum
Michigan expands crypto portfolio: $6.6M in Bitcoin and $11M in Ethereum
According to a recent report by the U.S. Securities and Exchange Commission (SEC), the Michigan State Retirement System (SMRS) has become the first U.S. state pension fund to invest in Ethereum-based exchange-traded funds.
SMRS, which manages assets worth over $13 billion, decided to invest in cryptocurrency as part of a broad diversification strategy.
In July of this year, the Michigan pension fund purchased shares of the spot Bitcoin ETF ARK 21 Shares, valued at $6.6 million.
Following this, they added shares of the Grayscale Ethereum Trust (ETHE), worth more than $10 million, as well as the Ethereum Mini Trust, amounting to an additional $1.1 million.Combined, these assets total over $11 million and exceed their investment in Bitcoin ETFs.
Adoption of digital assets is growing
Michigan is not the only U.S. state using crypto assets to preserve and grow pension funds.Wisconsin has invested a small portion of its funds in the BlackRock iShares Bitcoin Trust (IBIT).
The Arizona State Senate is considering legislation to add digital assets to its pension system, and Florida is looking to include Bitcoin in theirs.
The Pennsylvania legislature recently proposed the “Bitcoin Rights” bill to clarify the state's stance on digital assets.
Wyoming and Nebraska have already passed laws to attract cryptocurrency mining and to establish regulatory frameworks for crypto banks.
Read also: Semler Scientific buys more Bitcoin as profits rise
