Barclays Bets Big on Bitcoin ETF

Barclays, a multinational banking giant, has emerged as a significant investor in BlackRock's iShares Bitcoin exchange-traded fund (ETF), with holdings worth nearly $137 million. According to a recent quarterly filing submitted to the U.S. Securities and Exchange Commission (SEC), Barclays disclosed that it holds 2,473,064 shares of BlackRock's IBIT fund. At the current price of $55.33 per share, Barclays' holdings are valued at approximately $136.8 million.

IBIT, the largest Bitcoin (BTC) ETF in terms of assets under management (AUM), has attracted significant investment from institutional players like Barclays. The bank's interest in the blockchain and digital asset space is not new, as it has been exploring these areas for several years. In 2024, Barclays joined other financial institutions and the industry body UK Finance to participate in a tokenized deposits pilot project, demonstrating its commitment to innovation in the financial sector.

Barclays' investment in BlackRock's Bitcoin ETF comes amidst an ongoing investigation by the United Kingdom's Financial Conduct Authority (FCA). The probe focuses on potential anti-money laundering rule violations, with the FCA primarily examining the historical oversight and management of certain high-risk customers. Barclays has been cooperating with the investigation, as stated in its 2024 annual report.

In addition to its investment in BlackRock's Bitcoin ETF, Barclays has shown interest in other digital asset ventures. In 2022, reports emerged that the bank planned to acquire a multimillion-dollar stake in Copper, a European crypto firm aiming to provide a secure infrastructure for institutions investing in digital assets. That same year, Barclays backed Elwood Technologies, a crypto infrastructure and market data platform founded by billionaire Alan Howard.