Why Jane Street Just Slashed Its Bitcoin ETF Holdings and Doubled Down on Ethereum

TLDR

• Jane Street cut its Bitcoin ETF holdings sharply in Q1 2026, including a 71% drop in BlackRock’s IBIT and 60% drop in Fidelity’s FBTC.
• The firm added around $82 million in Ether ETF exposure, nearly doubling its BlackRock Ethereum Trust position.
• Its stake in Michael Saylor’s Strategy fell about 78% quarter-over-quarter, from roughly $146 million to $27 million.
• Jane Street increased positions in Coinbase, Riot Platforms, and Galaxy Digital despite pulling back on Bitcoin-linked assets.
• The firm posted a record $16.1 billion in trading revenue for Q1 2026.

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Wall Street trading firm Jane Street made a notable shift in its crypto holdings during the first quarter of 2026, cutting Bitcoin ETF exposure while building positions in Ethereum funds.

According to a 13F filing published on Tuesday, the firm slashed its stake in BlackRock’s iShares Bitcoin Trust by about 71% to roughly 5.9 million shares, valued at around $225 million. Its position in Fidelity’s Bitcoin fund fell about 60% to around 2 million shares, worth nearly $115 million.

At the same time, Jane Street nearly doubled its position in BlackRock’s iShares Ethereum Trust. It also added heavily to Fidelity’s Ethereum fund. Combined, the two Ether ETF additions totaled about $82 million over the quarter.

The moves reflect a broader trend of early institutional interest in Ether ETFs in 2026, with other Wall Street names like Wells Fargo also increasing exposure.

Strategy Stake Drops Sharply

Jane Street’s pullback from Bitcoin-linked assets extended beyond ETFs. Its stake in Strategy, the company led by Michael Saylor that holds large amounts of Bitcoin on its balance sheet, fell from about 968,000 shares in Q4 2025 to roughly 210,000 shares by the end of Q1 2026.

That is a drop of about 78% quarter-over-quarter, taking the value of the position from nearly $146 million down to about $27 million.

This reversal followed a sharp build-up in the prior quarter. Jane Street had increased its Strategy stake by roughly 473% in Q4 2025.

The firm also trimmed stakes in several Bitcoin mining companies during the quarter, including IREN, Cipher Mining, TeraWulf, and Core Scientific.

Gains in Coinbase, Riot, and Galaxy

Despite the broad pullback from Bitcoin-related holdings, Jane Street increased exposure to several crypto-linked equities.

Its stake in Riot Platforms climbed from about 5 million to around 7.4 million shares. The reported value of that position rose from roughly $63 million to about $91 million.

Coinbase holdings rose from around 778,000 shares to about 888,000. The value of that position came in at roughly $155 million at quarter end.

The largest jump came in Galaxy Digital. Jane Street went from holding around 17,000 shares to roughly 1.5 million, pushing the value from about $380,000 to nearly $28 million.

These increases suggest the firm was being selective rather than making a clean exit from crypto-linked equities altogether.

It is worth noting that 13F filings only show long positions held at the end of the quarter. They do not show the firm’s full trading book, short positions, or derivatives exposure.

Jane Street also reported a record $16.1 billion in trading revenue for Q1 2026, according to Reuters, driven in part by volatile markets and gains tied to artificial intelligence investments.

Separately, the firm is facing a lawsuit from the bankruptcy estate of Terraform Labs, which alleges Jane Street engaged in insider trading connected to the 2022 TerraUSD collapse. Jane Street has asked a court to dismiss the case.

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