Managed Assets in BlackRock’s Spot Bitcoin ETF Surpass $10 Billion!

• IBIT achieved assets over $10 billion on Thursday securing the second-largest daily inflows, following its launch on January 11.
• The IBIT fund, managed by BlackRock, reached assets of 162,000 BTC (over $10 billion), while Fidelity’s FBTC increased its assets to 105,000 BTC ( $6.3 billion).
• According to BitMEX Research, IBIT recorded $603.9 million in inflows yesterday, just below the record of $612.1 million it achieved on Wednesday.

Asset manager BlackRock’s spot Bitcoin ETF IBIT achieved $10 billion AUM as the BTC price gained strength.

BlackRock’s IBIT ETF Surpasses $10 Billion

In just seven weeks, BlackRock’s IBIT spot Bitcoin exchange-traded fund (ETF), launched on January 11, surpassed $10 billion in assets on Thursday, securing the second-largest daily inflows.

The IBIT fund, denominated in Bitcoin, increased its managed assets to 162,000 BTC (over $10 billion), while Fidelity’s FBTC raised its assets to 105,000 BTC ($6.3 billion). Nate Geraci, President of ETF Store, said, “For context, only 150 out of 3,400 ETFs have assets over $10 billion. Most of these were launched more than ten years ago.”

Ark Invest’s ARKB, with over 34,000 BTC (2.1 billion dollars), ranks third, and the nine newly born spot Bitcoin ETFs, excluding Grayscale’s converted GBTC fund, now exceed 344,000 BTC (21 billion dollars). Meanwhile, Grayscale’s higher-fee GBTC fund has decreased from about 619,000 BTC (38 billion dollars) to only 432,000 BTC (27 billion dollars) since the launch of spot Bitcoin ETFs.

According to BitMEX Research, IBIT recorded $603.9 million in inflows yesterday, just below the record of $612.1 million it achieved on Wednesday. However, this was largely offset by a significant $598.9 million outflow from Grayscale’s converted fund – the second-largest outflow to date. Fidelity’s FBTC saw a $44.8 million inflow, and Bitwise’s BITB had a $21.7 million inflow.

With the increase in GBTC outflows, it was observed that outflows from Europe’s largest bitcoin exchange-traded products also increased in the past few days. According to BitMEX Research analysts, “This is probably mostly due to the transition to U.S. ETFs, but maybe there’s some profit realization as well. Since January 11, 2024, there has been an outflow of $344 million from the big 6 European bitcoin ETPs, $50 million of which occurred on February 29, 2024.”

Net inflows for all U.S. spot Bitcoin ETFs were $92.4 million on Thursday, a significant decrease from the $673.4 million net inflow recorded on Wednesday. Globally, bitcoin investment vehicles absorbed 119,604 BTC (7.4 billion dollars) in February, according to K33 Research analyst Vetle Lunde. Lunde said, “A new monthly peak surpassing the GBTC ‘arb’ peak in December 2020.”

Spot Bitcoin ETF Trading Volume Strengthening

Trading volume for spot Bitcoin ETFs in the U.S. reached the second-highest level on Thursday at $4.74 billion, following the record volume of $7.64 billion on Wednesday. Yesterday’s trading volume was once again led by BlackRock’s IBIT, generating $1.9 billion in trading volume, followed by Grayscale’s GBTC with $1.37 billion and Fidelity’s FBTC with $1.01 billion.

As of the latest data, Bitcoin is trading at $61,920, experiencing a 0.6% decrease in the last 24 hours. Bitcoin achieved nearly a 45% increase in February, marking its largest monthly percentage gain since December 2020.