Bank of Montreal Allocates $150M to Bitcoin ETFs, SEC Filing Shows

TLDR

Bank of Montreal (BMO) invested $150M in Bitcoin ETFs according to SEC filing
$139M allocated to BlackRock’s iShares Bitcoin ETF (IBIT)
$11M spread across other ETFs including Ark 21Shares, Grayscale, and Fidelity
Small $17,000 investment made in ProShares Bitcoin futures ETF
BMO’s investment revealed through mandatory Form 13F-HR filing for firms managing over $100M

Bank of Montreal (BMO), Canada’s third-largest bank by assets, has invested $150 million in Bitcoin ETFs, according to a recent filing with the U.S. Securities and Exchange Commission (SEC). The investment details emerged through a mandatory Form 13F-HR filing, which is required for investment firms managing over $100 million in assets.

The majority of BMO’s investment, approximately $139 million, has been allocated to BlackRock’s iShares Bitcoin ETF (IBIT). This choice aligns with current market trends, as IBIT leads the spot Bitcoin ETF market with $57.03 billion in assets under management.

BMO has diversified its remaining investment across several other spot Bitcoin ETFs. The bank has distributed roughly $11 million among other major providers, including Ark 21Shares Bitcoin ETF, Grayscale Bitcoin Trust, and Fidelity Wise Origin Bitcoin Fund.

The filing also revealed BMO’s initial exploration of the Bitcoin futures market. The bank has made a smaller investment of $17,000 in the ProShares Bitcoin ETF (BITO), which currently stands as the largest Bitcoin futures ETF with $2.76 billion in assets under management.

This investment comes at a time when the spot Bitcoin ETF market features several established players. Following BlackRock’s IBIT, other major funds include Fidelity’s FBTC with $20.57 billion in assets, Grayscale’s GBTC managing $19.44 billion, Ark 21Shares’ ARKB with $4.94 billion, and Grayscale’s BTC holding $4.07 billion.

Bitcoin ETFs

The spot Bitcoin ETF market includes additional participants such as Bitwise’s BITB, VanEck’s HODL, Valkyrie’s BRRR, Invesco/Galaxy’s BTCO, Franklin Templeton’s EZBC, and WisdomTree’s BTCW, offering investors a range of options for Bitcoin exposure.

BMO’s investment strategy appears focused on established market leaders, with the bulk of its capital directed toward BlackRock’s product. This approach suggests a preference for larger, more liquid ETF offerings in the Bitcoin space.

The disclosure of BMO’s Bitcoin ETF investments came through standard regulatory requirements. As a firm managing over $100 million in assets, BMO must file Form 13F-HR with the SEC, making these investments public information.

The filing provides clear documentation of the bank’s positioning in both spot and futures Bitcoin ETF markets. While the spot ETF investment represents the majority of BMO’s Bitcoin-related holdings, the smaller futures ETF position indicates the bank’s interest in different types of Bitcoin exposure.

BlackRock’s IBIT, which received the largest portion of BMO’s investment, has established itself as a leading option in the spot Bitcoin ETF market. The fund’s size and liquidity have attracted institutional investors seeking Bitcoin exposure through traditional financial products.

The distribution of BMO’s remaining funds across other major ETF providers demonstrates a diversified approach to Bitcoin investment. This strategy spreads risk across multiple fund managers and products within the Bitcoin ETF ecosystem.

BMO’s choice to invest primarily in spot Bitcoin ETFs rather than futures products aligns with broader market trends. Spot ETFs directly track Bitcoin’s price, while futures ETFs are based on Bitcoin futures contracts traded on regulated exchanges.

The bank’s investment in ProShares’ BITO, while modest, provides exposure to the Bitcoin futures market. This market operates differently from spot ETFs, offering investors another way to gain Bitcoin exposure through regulated products.

This investment marks BMO’s entry into the Bitcoin ETF market through publicly disclosed positions. The filing shows how traditional financial institutions can gain cryptocurrency exposure through regulated investment products.

The filing details were submitted to the SEC on February 14, 2025, providing current information about BMO’s Bitcoin ETF holdings and investment strategy in this market sector.