Reports suggest that the State of Michigan Retirement System has recently invested more than $10 million in ethereum exchange-traded funds (ETFs), specifically in Grayscale’s Ethereum Trust and its Ethereum Mini Trust.
The Rise of Crypto in Retirement Portfolios
In July, it was revealed that the State of Michigan Retirement System (SMRS) had also invested in Ark Invest’s and 21shares’ ETF, known as ARKB. It initially purchased approximately $6.59 million worth of ARKB shares, a holding which has since increased to around $6.9 million. Concurrently, Steven Fulop, the mayor of Jersey City, N.J., announced that the city’s pension fund would commence investing in bitcoin ETF shares.
On Monday, Matthew Sigel, the head of digital asset research at Vaneck, highlighted that the SMRS holds a $10 million stake in Grayscale’s ether funds. Sigel stated: “State of Michigan Files 13F Discloses New ETH ETF Holdings; Becomes Top 5 Holder of ETH & ETHE.”
Grayscale’s Ethereum Trust is traded under the ticker ETHE, whereas Grayscale’s Ethereum Mini Trust utilizes the symbol ETH. The pension fund of Michigan is not alone in its venture into cryptocurrency investments. For instance, the State of Wisconsin Investment Board has allocated funds to purchase Blackrock’s IBIT. Furthermore, the firefighters’ pension fund in Houston and Ontario’s teachers’ pension fund have both explored crypto-related investments in recent years.
The consistent interest from retirement funds in digital assets such as ethereum ETFs indicates a shift in traditional finance towards cryptocurrency. This evolving trend reflects a belief that digital assets are gradually entering the mainstream. With state funds, city funds, and even educational pension funds participating, the movement underscores a thoughtful acceptance of crypto within the more conservative circles of finance.
