It seems that Mubadala Investment Company is not concerned by the frequent price changes in Bitcoin. The report from Q1 shows that the sovereign wealth fund bought an additional 491,000 shares of BlackRock’s iShares Bitcoin Trust (IBIT) despite BTC dropping below $90K. They now hold 8.73 million IBIT shares which is 6% more than what they had last quarter. As of March 31, this was worth $408.5 million, but now it is valued at over $512 million.
Strategic Position
To retail investors, this bet on Bitcoin might sound very large, but it accounts for only a tiny fraction of what Mubadala manages which is $302 billion. The Emirate of Abu Dhabi owns a number of large investment organizations, including the Abu Dhabi Investment Authority (ADIA), Abu Dhabi Developmental Holding Company (ADQ) and the Emirates Investment Authority (EIA).
All Courses in Wisconsin
Wisconsin was the first to leave the competition. In Q1, SWIB which manages funds for the state, sold all of its Bitcoin ETF investments. It is especially remarkable because just a few quarters earlier, they owned 6,060,351 shares of IBIT, a 110% increase from what they had before.
Diverging Strategies
They point out that institutions are responding very differently to exposure in the crypto market this year. They increased their ownership while prices were dropping which shows they are not rushing out. Instead of participating, Wisconsin took the complete opposite approach, suggesting they either chose a different risk level or changed their way of investing. These steps reveal how institutions are handling Bitcoin’s price shifts using a safe structure such as an ETF.
