A 13f filing revealed that PNC Bank, the 8th largest bank in the United States has invested over $67 million into Bitcoin Exchange Traded Funds.
PNC, a commercial bank with over $325 billion in Assets under management, filed a 13f document to the United States Securities and Exchange Commission revealing its Bitcoin Position for the first time.
Former Sequoia Capital Analyst Julian Fahrer explained that PNC increased its Bitcoin holding by $57 million in the space of one year.
The banking giants increased their stake in Bitcoin ETFs from $10 million to $67 million according to the 13F filing to the SEC.
PNC chose Bitwise’s Bitcoin ETF (BITB) out of the 11 existing Bitcoin ETFs, continuing the growing trend of traditional financial institutions getting involved in Cryptocurrency.
Aside from PNC, other American banks are getting involved in Bitcoin and Ethereum ETFs. Earlier reports hinted that Wells Fargo, Morgan Stanley, and BNP Paribas are heavily invested in these financial products.
The mother of all investments which is the proposed Strategic Bitcoin Reserve by the US government is still hanging in the balance and remains a viable possibility.
The Coming Drought
As the demand for Bitcoin by institutional and retail investors continues to grow. Various analysts and asset managers have pointed out that the challenge of limited supply for Bitcoin would soon become a reality.
Bitcoin miners can only average the minting of 450 Bitcoins a day. This is a far cry from the growing demand for the asset by institutional and retail investors.
The inevitable scarcity resulting from the gulf between Demand and Supply is a net positive for the price of the asset.
Bitwise CIO Matt Hougan believes the Asset can surge to as high as $500,000 a coin if the current trajectory around the coin continues.
At the time of the report, Bitcoin is exchanging hands for $96,022 dropping by 3.6% in the last 24 hours.
