Key Takeaways
- Capula Management has invested nearly $500 million in Bitcoin ETFs.
- The ETF structure makes Bitcoin more appealing to mainstream investors.
- On August 5th, Bitcoin ETFs saw record trading volumes.
Capula Management, Europe’s fourth-largest hedge fund, has invested nearly $500 million in Bitcoin exchange-traded funds (ETFs), according to public disclosures filed on August 5th.
The UK-based hedge fund, which manages over $30 billion in assets, holds shares in the Fidelity Wise Origin Bitcoin Fund (FBTC) and BlackRock’s iShares Bitcoin Trust (IBIT). These holdings reflect Capula’s portfolio as of June 30th, and the filings do not indicate any other Bitcoin-related assets.
Trends
Capula’s investment in Bitcoin ETFs highlights a growing trend among hedge funds to allocate substantial resources to Bitcoin.
Millennium Management reported holdings worth nearly $2 billion in Bitcoin ETFs, along with other Bitcoin-related assets, back in May. The ETF structure provides benefits such as low fees, investor protection, and simplified accounting, making Bitcoin more accessible to mainstream investors.
ETF stats
Since their introduction, Bitcoin ETFs have attracted over $50 billion in net investor inflows, despite recent market volatility, according to fund researcher Morningstar Inc.
Between July 31st and August 2nd, Bitcoin ETFs experienced $175 million in net outflows due to a severe market drawdown that began in July. However, BlackRock’s IBIT and Fidelity’s FBTC have established themselves as leading choices for investors.
On August 5th, Bitcoin ETFs saw record trading volumes, with over $1 billion worth of shares traded shortly after the market opened.
