US public pension fund invests in Bitcoin for the first time

NYDIG facilitated the purchase, representing “a watershed moment for bitcoin and its place in public repos,” its global head said.

  • A US public pension fund has invested in bitcoin for the first time.
  • The Houston Firefighters’ Relief and Retirement Fund acquired an undisclosed amount of BTC through institutional Bitcoin service provider NYDIG.
  • The investment “represents a watershed moment for bitcoin and its place in public pensions,” said the global head of asset management at NYDIG.

Houston firefighters’ pension fund, the Houston Firefighters’ Relief and Retirement Fund (HFRRF), announced today that it has purchased bitcoin for the defined benefit plan’s wallet, making it the first announced investment in BTC by a public pension fund in the United States.

“This investment represents a watershed moment for bitcoin and its place in public pensions,” said Nate Conrad, global head of asset management at NYDIG. “Trustees are increasingly aware of how even a small allocation to digital assets can have a big impact over time, and they now have a partner at NYDIG who can help them get there.”

HFRRF acquired BTC and another cryptocurrency in a $25 million purchase facilitated by institutional bitcoin service provider NYDIG, which will also provide custodial services to the pension fund, Bloomberg reported. NYDIG has established a private fund, which it will manage, to acquire and hold the assets on behalf of HFRRF.

“I see it as another tool to manage my risk,” said Ajit Singh, chief investment officer of the fund. Bloomberg. “It has a positive expected return and it manages my risk. It has a low correlation with all other asset classes.

HFRRF plans to nurture the partnership with NYDIG in the future to enable its 6,600+ benefactors to leverage the suite of bitcoin-focused services provided by NYDIG’s comprehensive platform. HFRRF benefactors include active and retired firefighters and firefighter survivors.

The purchase marks the first-ever bitcoin investment by a public pension in the United States, which has the potential to significantly benefit HFRRF members over the long term if BTC continues to appreciate against the dollar as it has. did throughout its lifetime.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Dolores W. Simon