Intesa Sanpaolo (ISP), Italy’s second-largest bank by market capitalization, reduced its bitcoin exposure through the iShares Bitcoin Trust (IBIT) ETF, in the second quarter, cutting its stake by 94% and nearly eliminating call options as the price of the largest cryptocurrency tumbled.
The bank reported owning 40,723 shares of IBIT valued at $1.36 million as of June 30, down from 646,809 shares three months earlier, according to its latest filings. The bank also got rid of 99% of its call options, which give it the right, but not the obligation, to buy shares in the ETF at a predetermined price, while adding put options, which give the equivalent right to sell.
The Turin-based company’s holdings restructuring took place during a quarter that saw the bitcoin price slump 14% after two successive quarters of declines in excess of 20%. For ether (ETH), in contrast, the bank bolstered its ETF positions even as the second-largest cryptocurrency slid 25%.