In this post. Jefferies analyst Chris Woods explains why the investment banking firm has allocated 5% of its portfolio to VanEck HODL.
The majority of institutional investment in #BTC is with hedge funds.
Woods sees potential in Lummis' #bitcoin reserve bill if Trump wins.
Woods, chief strategist at investment banking firm Jefferies, said his firm holds 5% of its funds in bitcoin through the VanEck spot bitcoin exchange-traded fund (ETF) HODL.
In a statement released by Matthew Siegel, VanEck's head of digital assets, he noted that BTC makes up a larger share of Jefferies' long-term portfolio than Microsoft and Samsung stocks.
Jefferies' interest in BTC is not unreasonable and represents a strategic hedge against events that could lead to a devaluation of the U. S. dollar. According to Woods, bitcoin is a way out of the crisis that could affect the U. S. dollar if the market resets U. S. Treasuries.
he said:
Bitcoin is a potential solution to the problems facing the current U. S. dollar fiat system if markets conclude that G7 bonds, especially government bonds, are no longer risk-free.
G-n Woods also compared bitcoin to gold, noting that if the market views gold as a hedge against a decline in G7 currencies, bitcoin could fall into the same category. He added that bitcoin is closer to the mainstream than ever, with the U. S. Securities and Exchange Commission (SEC) approving bitcoin #ETF trading and presidential candidate Donald Trump already advocating for the digital currency on a national level.
In the meantime, Siegel noted that hedge funds are responsible for the majority of institutional bitcoin purchases in 2024. He said the inclusion of BTC in investment managers' portfolios is lagging behind, with their share growing by just 4% compared to 38 hedge funds.
However, VanEck is already planning to solve this problem with a multi-asset portfolio that includes bitcoin.
They say
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