South Korea’s Teachers’ Credit Union (KTCU) is reportedly seeking exposure to Bitcoin (BTC), via a crypto-exchange-traded fund.
Local news agency The Korea Economic Daily reported Monday that KTCU, South Korea’s largest institutional investor, may invest in a Bitcoin ETF or Bitcoin-linked ETF in the first half 2022.
According to the report, KTCU may invest in several Bitcoin ETF products including those from Mirae Asset Global Investments, a South Korean asset manager. In April 2021, the company launched two ETFs that track the Bitcoin futures value via Horizons ETFs in Canada.
“As there are some well-made cryptocurrency-linked ETF products by asset managers such as Korea’s Mirae Asset Global Investments, we plan to invest in the ETF products after consultation with domestic asset managers,” an executive at KTCU reportedly said.
A potential investment in a Bitcoin ETF was also mentioned by the official. This was suggested by Mirae Asset’s subsidiary Global X ETFs which applied for a Bitcoin ETF in July with the United States Securities and Exchange Commission.
The report states that KTCU, which has $40.2 billion of assets under management, is the second-largest institution investor in South Korea. 40% of the pension fund’s investments have been made in alternative assets, 10% domestic stocks and 9% international stocks. KTCU is still working out details about its potential investment in Bitcoin ETFs.
Related: Why now? It took the SEC eight years to approve a Bitcoin ETF in America
This news comes as global pension funds are increasingly interested in cryptocurrency exposure, such as Bitcoin, and major companies within the industry. The Houston Firefighters Relief and Retirement Fund purchased $25 million worth of Bitcoin and Ether (ETH) last week. The firm announced Thursday that the $420 million funding round was completed by Canada’s Ontario Teachers Pension Plan Board for major crypto exchange FTX.