Life insurance giant MassMutual is purchasing a hefty allocation in Bitcoin and acquiring a minority stake in the Bitcoin institutional investment solutions firm, NYDIG.
According to a Thursday press release, the mutual life insurance company, which has been operating across the span of three centuries, made a $5 million equity investment in NYDIG and a $100 million investment into Bitcoin.
Bitcoin bull and Galaxy Digital CEO Mike Novogratz tells his 156,000 Twitter followers that, in a year marked by increasing institutional adoption of Bitcoin, MassMutual’s investments could be the biggest Bitcoin news of 2020.
This might be the most important $BTC news of 2020. An insurance company buys bitcoin for its general account. This needs fed approval. It’s a HUGE deal. https://t.co/Zl68MM71LD
— Mike Novogratz (@novogratz) December 10, 2020
MassMutual’s chief investment officer Tim Corbett believes the investments are a crucial part of the firm’s portfolio, saying that the addition of Bitcoin “will help deliver [MassMutual] deliver long-term value to [its] policyowners.” Corbett says the company looks forward to looking for other diverse and innovative ways to bring value to its members.
NYDIG founder Ross Stevens also has a positive outlook on the agreement, predicting that MassMutual’s investment will inspire the Bitcoin community at large and bolster the top cryptocurrency as it continues to gain traction with institutional investors.
“Bitcoin – asymptotically unprintable sound money with an uncorrelated risk premium – is a cornerstone of our practice.
To help NYDIG support the next leg of Bitcoin’s journey, I could not have dreamed of a better company to work with than MassMutual. Their enduring focus on delivering safety, security, and responsible innovation to their policyowners and their families… will inspire the broader Bitcoin community.”
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
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