"Guggenheim," managing $260 billion, second only to the Rothschild family, plans to invest in a Bitcoin trust fund.

The global second richest family, the Guggenheim family, just after the Rothschilds, is considering investing hundreds of millions of dollars in the Grayscale Bitcoin Trust (GBTC) through its investment management company, Guggenheim Partners.

Guggenheim Submits Bitcoin Investment Application

The Guggenheim family, once known as the "Silver Prince" and "World Copper King," is the second wealthiest family in the world after the Rothschilds. The family's investment management company, Guggenheim Partners LLC, has become a financial giant in recent years, managing around $260 billion in assets.

Last Friday, Guggenheim Partners LLC filed a prospectus with the U.S. Securities and Exchange Commission (SEC) and plans to allocate 10% of its $5.3 billion Macro Opportunities Fund to invest in Grayscale's Bitcoin Trust Fund (GBTC). If approved, this move would allow Guggenheim to invest up to $500 million in the cryptocurrency market. The company stated in the filing:

"The Guggenheim Macro Opportunities Fund may seek investment exposure to bitcoin indirectly through investing up to 10% of its net asset value in Grayscale Bitcoin Trust (GBTC), a privately offered investment vehicle that invests in bitcoin."

However, apart from GBTC, the fund will not directly or indirectly invest in any other cryptocurrencies. GBTC is currently the world's largest bitcoin security, allowing investors to trade these shares on the OTC market without having to deal with custody issues of this new asset, while still benefiting from the appreciation of bitcoin.

On the other hand, Guggenheim also highlighted regulatory changes as a significant risk in investing in cryptocurrencies in its filing to the SEC.

"Cryptocurrency is a novel technological innovation and a highly speculative asset. Future regulatory actions or policies may adversely affect the value of the fund's indirect investments in cryptocurrency and the ability to trade or use them for payment."

Despite this, Guggenheim is still willing to apply for permission to invest in bitcoin with the SEC, indicating that they believe there is still significant potential for price development in bitcoin, even at levels close to historical highs.

Skybridge Capital's $3.7 Billion Fund Applies to Invest in Bitcoin

Guggenheim is not the only asset management company applying to invest in bitcoin with the SEC. According to previous reports, the well-known hedge fund on Wall Street, Skybridge Capital, submitted an investment authorization amendment to the SEC on November 13th this year, allowing its funds to legally invest in bitcoin.

According to the documents, Skybridge Capital hopes that the SEC will allow its funds to hold "long and short positions in digital assets," which may be acquired through "unregulated exchanges located outside the United States," not necessarily just through GBTC for indirect investment. On the other hand, while the company only mentioned bitcoin in the filing, it emphasized that it will not be limited to bitcoin in the future and will choose to invest in other cryptocurrencies if better investment opportunities arise.