Conservative fund giant embraces Bitcoin-linked stocks as exposure strategy
Capital Group, a 94-year-old mutual fund powerhouse long known for its traditional investment style, has turned a $1 billion allocation to Bitcoin treasury firms into more than $6 billion. The move underscores how institutional investors are increasingly validating Bitcoin as a long-term asset.
From cautious investing to Bitcoin advocacy
The firm’s Bitcoin push has been spearheaded by Mark Casey, a veteran portfolio manager with 25 years at Capital Group. Casey, whose style was shaped by Benjamin Graham and Warren Buffett, has become a vocal supporter of the digital asset.
“I just love Bitcoin, I just think it is so interesting,” Casey said in a podcast interview, describing it as “one of the coolest things that has ever been created by people.”
Strategic holdings in treasury firms
Rather than buying Bitcoin directly, Capital Group gained exposure by investing in Bitcoin treasury companies — publicly traded firms that hold significant Bitcoin reserves on their balance sheets.
Its largest position is in Strategy (formerly MicroStrategy), the software company redefined by Michael Saylor’s pivot into Bitcoin. In 2021, Capital Group purchased a 12.3% stake worth $500 million. Though trimmed and diluted to 7.89%, that stake is now valued at $6.2 billion after a 2,200% surge in Strategy’s stock over five years.
The firm has also built a 5% stake in Japan’s Metaplanet, a hotel operator turned Bitcoin holding company, along with shares in mining firm Mara Holdings.
Bitcoin treasuries pass 1 million BTC
According to industry data, corporate treasuries now hold over 1 million BTC worth more than $117 billion. Strategy leads with 636,505 BTC, while Mara Holdings has more than 52,000 BTC. New entrants such as XXI and Bitcoin Standard Treasury are adding to the momentum.
Casey emphasized that Capital Group views Bitcoin the same way it approaches gold or oil investments. “We view Bitcoin as a commodity,” he explained, highlighting its potential as both a store of value and a balance-sheet asset.
This institutional backing suggests that Bitcoin’s role in global finance is shifting from speculation to corporate strategy, with Capital Group’s success reinforcing the trend.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.
