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Grayscale CEO Says Major Retirement Funds Are Adding BTC to Portfolios

Many pension funds are looking to diversify their portfolios, said Michael Sonnenshein, CEO of digital asset management firm Grayscale Investments.

Speaking in an interview with CNBC on June 10, Sonnenshein noted that interest in assets like Bitcoin is surging despite the market’s steep decline.

Michael Sonnenshein
Michael Sonnenshein

According to the executive, volatility is not the main issue that affects investors when they look at it from a long-term perspective. He noted that investors are increasingly focused on the regulatory outlook.

We are taking the time for politicians, some of the largest pension and pension funds, to focus on diversifying their portfolios by actively allocating to crypto.

Sonnenshein’s revelation comes after wealth management giant Fidelity revealed it will allow its investors to allocate their pensions to Bitcoin.

Fidelity Lets Customers Invest in Bitcoin Through Retirement Accounts

However, the move was met with resistance from US Treasury Secretary Janet Yellen, who argued that Bitcoin is not the ideal asset for retirement.

Additionally, Grayscale is currently awaiting a response from the Securities and Exchange Commission (SEC) regarding the conversion of the Grayscale Bitcoin Trust (GBTC) into a Bitcoin Spot Exchange Traded Fund (ETF).

One analyst believes that if the SEC rejects the application, Grayscale could legally sue the agency.

Grayscale has beefed up its legal team by hiring former Obama Administration Attorney General Donald B. Verrilli Jr.

Grayscale Hire Former Solicitor General to Prepare Controversy With SEC Over Bitcoin ETF Spot

Now that the SEC has until July 6 to respond to the application, legal experts say the regulator has no grounds to reject the Spot ETF.