These Major US Banks Bought Bitcoin Spot ETFs in Q2 2024

The second quarter of 2024 ended with major U.S. banks offering institutional exposure to spot Bitcoin exchange-traded funds (ETFs).

Multiple filings with the U.S. Securities and Exchange Commission in the second quarter revealed that these Wall Street giants have acquired significant stakes in various Bitcoin spot ETFs for their clients. In the coming months, these entities could buy the ETFs and add them to their balance sheets.

US Banks Buy Bitcoin ETFs

Goldman Sachs, the world’s second-largest investment bank by revenue, is first on the list. The institution reported holding a whopping $418 million in cash Bitcoin ETFs. The bank revealed that it holds shares in several funds, including BlackRock’s iShares Bitcoin Trust (IBIT), Fidelity’s Wise Origin Bitcoin Fund (FBTC), and Grayscale’s Bitcoin Trust (GBTC).

Goldman Sachs has also invested in funds issued by Ark Invest/21Shares, Invesco/Galaxy, Bitwise and WisdomTree. Its largest holdings are in IBIT, with $238 million, followed by $79.5 million in FBTC.

Morgan Stanley is another Wall Street giant that has announced its Bitcoin ETF holdings. While the firm revealed a $269 million investment in GBTC in the first quarter, its holdings have been reduced to about $189.7 million by the end of June. GBTC shares were reduced to $148,000, while Ark Invest’s ARKB shares totaled $1.6 million.

Interestingly, Morgan Stanley’s $188 million investment in IBIT made it the fifth-largest holder of shares in the fund. The bank has also encouraged its financial advisors to offer Bitcoin ETFs to clients with a net worth of more than $1.5 million.

Exceeding Nakamoto’s assets

Other Wall Street giants like Bank of America, HSBC, and UBS have reported smaller investments in spot Bitcoin ETFs. Bank of America holds $5.3 million in shares, mostly in IBIT and FBTC, HSBC acquired $3.6 billion in ARKB, and UBS reported about $300,000 in shares of IBIT and other ETFs.

While Goldman Sachs, Bank of America, HSBC and UBS took their time buying spot Bitcoin ETFs for their clients, some entities like Wells Fargo and JP Morgan jumped on the bandwagon shortly after the funds launched in the first quarter, albeit with minimal investments.

As more banks, hedge funds and big-name entities invest in spot Bitcoin ETFs, analysts estimate the funds are collectively on track to surpass Bitcoin creator Satoshi Nakamoto’s holdings by October.