Stanford University-Linked Fund Dedicates 7% to Bitcoin; BlackRock Explores BTC Exposure
Summary:
A student-run investment fund at Stanford University has allocated approximately 7% of its portfolio towards Bitcoin (BTC) investments. The decision followed a pitch to the university's Blyth Fund made by Kole Lee, a student and leader at the Stanford Blockchain Club. Meanwhile, asset manager BlackRock has filed an amendment to include Bitcoin exposure in its Strategic Income Opportunities Fund.
A Stanford University-linked investment fund has directed approximately 7% of its investments towards Bitcoin (BTC). On March 5, Kole Lee, a student of Computer Science and a leader in the Stanford Blockchain Club, announced that the university's Blyth Fund, which is managed by students, had dedicated around 7% of its portfolio to BTC, a decision influenced by his pitch in February. He stated that Stanford Endowment acquired Bitcoin at $45,000 and emphasized that he had proposed BlackRock’s IBIT ETF to the Blyth Fund. His arguments aimed to be objectively positive while catering to an audience with skepticism, focusing on ETF inflows, cryptocurrency market cycles, and a shield against potential economic instability and war.
The Blyth Fund, established in 1978 in honor of the renowned banker Charles Blyth, administers a significant portion of Stanford’s Endowment by investing in various assets, including stocks, bonds, and now, BTC.
Lee shared with Cointelegraph, the Blyth Fund is a student-managed investment group dedicated to members investing within their areas of skills and interests. He added that the Blyth Funds, separate funds that are part of a larger fund pool, allow students to make investment decisions. Therefore, he believed the ETF was an excellent chance for Blyth to invest in Bitcoin.
Lee suggested that when Bitcoin breaks the all-time high of $69,000, numerous short positions will be closed, stirring enthusiasm at the ATHs and prompting a significant upward movement.
On a related note, BlackRock, an asset management company, submitted an alteration to the Securities and Exchange Commission on March 4 for including Bitcoin exposure in its Strategic Income Opportunities Fund (BSIIX). The amendment indicates that the fund may acquire shares in funds directly linked to Bitcoin’s price. This includes the purchase of shares in a Bitcoin ETP sponsored by a BlackRock affiliate.
The SIO fund currently holds $36.5 billion worth of assets under management, as reported by BlackRock.
BlackRock's recently introduced spot Bitcoin ETF (IBIT) has emerged as the top-performing fund among a group of nine newly launched ones. This week, it crossed $11 billion in managed assets and attracted inflows of $420 million on March 4.
Published At
3/5/2024 8:38:40 AM
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