Wisconsin Pension Fund Doubles Down on Bitcoin, Boosts Holdings to $320M

The State of Wisconsin's pension fund has significantly increased its exposure to Bitcoin, with holdings now worth over $320 million, according to a recent filing with the U.S. Securities and Exchange Commission (SEC). The State of Wisconsin Investment Board (SWIB) has more than doubled its Bitcoin exchange-traded funds (ETFs) holdings, which stood at approximately $321 million as of the latest disclosure.

SWIB's latest filing builds on its May 2024 disclosure, which reported $163 million in Bitcoin ETF holdings. The pension fund held around $99.1 million in BlackRock's iShares Bitcoin Trust (IBIT) and approximately $63.7 million in Grayscale's Bitcoin Trust (GBTC) shares. Notably, the United Arab Emirates' Mubadala Investment Co. invested about $435 million in the same fund this week.

Beyond Bitcoin ETFs, SWIB has also invested in various crypto-related companies, including Coinbase, Marathon Digital, Riot Platforms, Block, and MicroStrategy. This indicates a broader institutional shift toward crypto assets, with pension funds increasingly recognizing the potential of digital currencies in their portfolios.

Founded in 1951, SWIB manages assets for public pension funds and other trusts. By the end of 2023, its total assets under management (AUM) reached $156 billion. Wisconsin's move aligns with a growing trend among pension funds worldwide, as institutional players traditionally known for their conservative approach show increased interest in Bitcoin.

In the United States, policymakers are also recognizing Bitcoin's potential role in retirement portfolios. U.S. Senator Cynthia Lummis has publicly encouraged Americans to consider Bitcoin as a long-term retirement asset. In January, Indiana Rep. Teshka and Kansas Senator Bowser introduced bills advocating for public employee retirement funds to allocate up to 10% of their portfolios to Bitcoin ETFs. Meanwhile, Michigan's pension fund became the first to invest in Grayscale's Ethereum ETF last November, although it still holds around $7 million in ARK 21Shares BTC ETF shares.

Interest in Bitcoin as an institutional asset is not confined to the United States. Last November, a UK pension fund allocated 3% of its $65 million AUM directly into Bitcoin instead of ETFs