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You May Already Have Crypto in your Mutual Fund

beebee
in Fund Discussions
From the linked article:
More than 100 publicly traded companies now have some crypto assets on their balance sheets. None owns more than Strategy MSTR (formerly known as MicroStrategy), a pioneer of this trend. The firm first started investing in bitcoin in August 2020 and now owns more than 600,000 bitcoins, or roughly $70 billion at current prices. That’s more than 60% of the firm’s market cap, so the stock’s fortunes rely almost entirely on bitcoin. The stock moved almost lockstep with bitcoin until 2024, when Strategy’s growth skyrocketed and began trading at a substantial premium.
Is-cryptocurrency-already-hiding-your-retirement-account?

Comments

  • yogibearbullyogibearbull
    Interesting.

    While funds cannot hold cryptos directly unless specifically approved by SEC (e.g. the new ETPs approved in 2024), indirect crypto exposures may come from individual companies that may hold cryptos in their corporate treasuries – MSTR being an extreme example; crypto industry companies, etc.
  • WABACWABAC
    Coincidentally, I read the following this morning: https://finance.yahoo.com/news/corporate-america-bitcoin-strategy-hyper-113002765.html
    To understand the risk, imagine if Fortune 500 companies in the 1990s had plowed billions of dollars into Beanie Babies as their primary reserve asset.
  • AnnaAnna
    And the Beanie Babies were purely virtual, belief based, AND had no guarantee or backing by any means even half way substantial.
  • Old_JoeOld_Joe
    Yeah, but they looked pretty good compared to some of the newer crypto stuff.
  • WABACWABAC
    In fairness I should point out that the article goes on to say:
    Bitcoin isn’t Beanie Babies — it has global liquidity, decentralized infrastructure, and a dedicated user base
    So, clap hands for Tinker Bell y'all.
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