Michigan State Pension Fund triples Bitcoin ETF holdings $10.7 million

This marks a substantial increase from the 100,000 shares reported at the end of the previous quarter, with the new position now valued at approximately $10.7 million.

ARKB is among several spot Bitcoin ETFs approved by the SEC since January 2024, providing regulated access to Bitcoin’s price movements for institutional investors without the need for direct custody of cryptocurrency. The Michigan fund’s move illustrates a broader and growing confidence in Bitcoin adoption by state-managed entities, joining other public institutions such as the Wisconsin Investment Board that have also revealed significant Bitcoin ETF holdings this year.

In addition to its increased Bitcoin exposure, Michigan’s pension fund maintains a notable position in cryptocurrency markets with 460,000 shares of the Grayscale Ethereum Trust (ETHE), worth around $9.6 million as of June 30—making it the first US state pension fund to add an Ether-based investment of this size.

This investment activity takes place as Michigan lawmakers advance a suite of pro-crypto measures. Four new bills introduced in May aim to establish a supportive regulatory framework for blockchain innovation, including permissions for the state treasurer to invest in major cryptocurrencies, prohibitions against banning crypto or enforcing certain licensing requirements, resistance to central bank digital currency mandates, and launching a state-led Bitcoin mining initiative at unused oil and gas fields.

As of early August, Bitcoin is trading near the $113,000 mark. Market data show increasing volatility with short-term technical indicators—such as a downward-trending RSI near 44 and bearish crossovers on moving averages—highlighting both buying fatigue and renewed downside risk. However, if Bitcoin price can regain key short-term averages and attract volume above $116,000, a sharp rally toward $120,000 or higher could materialise.

The Michigan pension fund’s growing allocation to Bitcoin ETFs coincides with a broader trend of public institutions using regulated investment products to gain crypto exposure. This movement not only legitimises Bitcoin as a long-term portfolio asset but may also encourage more state-level funds to allocate capital to digital assets as US crypto regulation evolves.