Pension funds continue to rise in investments in digital assets, despite a significant decline in offerings. The Wall Street Journal writes about it.
The publication noted that in the conditions of the crypto winter, many executives are faced with a choice – to increase their investments or close their positions.
The California Teachers’ Pension Fund (US) has described the risk parameters for acquiring cryptocurrency as unacceptable.
The Houston Firefighters’ Relief and Retirement Fund (HFRRF) from Texas (USA) has not lost its optimism. The structure invested $25 million in bitcoin and Ethereum in October 2021, so far the investment has lost half its value.
“Volatility expected”– said Ajit Singh, head of the fund.
A similar view is shared by the Fairfax County Police Pension Fund (Virginia, USA).
“Now the expected return has increased. Some investors are hesitant to invest given the crypto winter we are experiencing”, – explained Katherine Molnar, head of the investment department of the structure.
In July 2022, Fairfax County Police and Employee Pension Funds invested $35 million in the VanEck crypto fund.
These structures, which invested a total of $ 21 million in the Morgan Creek crypto fund, first became interested in digital assets in 2019. As of June 30, the book value of the investments had quadrupled.
Recall that in May 2022, Republican Senator Tommy Tuberville of Alabama introduced a bill that would allow US citizens to add cryptocurrency to their 401(k) retirement savings accounts.
Earlier, Fidelity Investments announced a service that will provide customers with the opportunity to accumulate bitcoins on such products.
It later became known that the company’s plans worried the US Department of Labor, as well as Senators Elizabeth Warren and Tina Smith.
In 2020, the first cryptocurrency investment retirement plans were introduced in the US by DAiM and Bitwage with Gemini.
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Source: Fork Log
I’m Sandra Torres, a passionate journalist and content creator. My specialty lies in covering the latest gadgets, trends and tech news for Div Bracket. With over 5 years of experience as a professional writer, I have built up an impressive portfolio of published works that showcase my expertise in this field.