The largest BTC ETF holder changed hands and invested $380 million

Source: Blockchain Knight

Last week, investor sentiment in the US spot BTC ETF market changed significantly.

The market is reportedly seeing positive inflows, breaking a nearly month-long streak of outflows. The week ended with significant positive inflows of $116 million, signaling growing investor interest in newly approved index funds.

Notably, a new player entered the market and invested heavily, quickly becoming one of the largest holders of the BTC ETF.

Boston-based hedge fund Bracebridge Capital reportedly holds a position in Ark Invest’s ARKB ETF worth $262 million. In addition, they became the largest owner of Blackrock's IBIT with an investment of US$81 million.

Bracebridge Capital also holds $20 million in Grayscale's Bitcoin Trust (GBTC), which experienced negative outflows of $103 million during the same period.

Bloomberg ETF expert Eric Balchunas described Bracebridge Capital’s investment as “crazy” and pointed out that the company has made a large number of acquisitions.

It is worth mentioning that the number of holders of each ETF is constantly increasing. IBIT had 250 holders in the first quarter alone, which is very significant for a recently launched product. .

In contrast, although the outflow of funds from the Hong Kong BTC ETF market is slower, it has continued.

On Friday, May 10, 2024, there was an outflow of $6.3 million, followed by an outflow of $18.5 million on Monday, May 13, 2024.

However, it is worth noting that Bosera and Harvest have not released Monday’s financial reports, according to Farside data.

These outflows come against the backdrop of rumors that a Hong Kong-listed BTC ETF will soon be open to mainland Chinese investors.

According to previous reports, SyzCapital managing partner Richard Byworth sparked speculation about the inclusion of Hong Kong-listed BTC ETFs in the "Stock Connect" system, which may allow mainland Chinese investors to obtain these funds.

Byworth’s comments on social media highlight the ongoing discussion surrounding this potential integration, which could lead to a large influx of funds from mainland China into the BTC ETF market.

ChinaAMC BTC ETF raised US$121 million on its first trading day. Its initial performance made people more optimistic about the future of Hong Kong BTC ETF.

Samson Mow, a well-known figure in the industry, expressed bullish sentiment. Meanwhile, SmashFi co-founder and COO Brian HoonJong Paik also highlighted mainland China’s interest in the Hong Kong BTC ETF and the socio-economic benefits it may bring.

Paik emphasized China's huge wealth in real estate and believed that alternative investment opportunities can help stabilize the socio-economic pattern and alleviate social unrest.

As the discussion continues, market participants are paying close attention to the potential impact of BTC ETF on capital flows in mainland China and the overall adoption of digital asset funds.

Meanwhile, the largest Crypto asset on the market has rebounded to $63,000 levels, with the price rising by 3% in the past 24 hours alone.