- BlackRock’s IBIT & Fidelity’s FBTC amassed over $3 billion each in their first month, surpassing all other ETFs launched in the past 30 years.
- Organic Growth: Unlike many past launches, these Bitcoin ETFs saw consistent inflows from various investors, marking a significant milestone.
- Ranking among the top inflows of 2024, these ETFs highlight growing institutional interest in Bitcoin and its potential for further integration.
The launch of spot Bitcoin ETFs in the US has generated remarkable results, with BlackRock and Fidelity’s offerings smashing records for asset accumulation in their first month.
Bloomberg Intelligence data reveals that both BlackRock’s iShares Bitcoin Trust (IBIT) and Fidelity’s Wise Origin Bitcoin Fund (FBTC) have secured over $3 billion in assets in 17 trading days.
This achievement surpasses other ETF in the past 30 years, highlighting the investor interest in these directly Bitcoin-backed products.
BlackRock and Fidelity’s Bitcoin ETFs stand out for their results, unlike many other ETFs on the list, which were essentially “Bring Your Own Assets” types, where one investor backed all the assets under management.
Bloomberg ETF analyst Eric Balchunas emphasizes the remarkable nature of this feat. He states that IBIT and FBTC stand “in a league of their own,” no other ETF debut in history has managed to gather such significant assets in such a short timeframe.
The previous record holder, BlackRock’s iShares Climate Conscious & Transition MSCI USA ETF, launched in June 2023 with $2.2 billion in its first month.
Organic Growth and Continuous Inflows
Balchunas highlights that these record-breaking numbers are even more impressive due to the organic nature of the inflows.
Both IBIT and FBTC have witnessed consistent inflows from diverse investors during each trading day since their launch. This, according to Balchunas, is “literally unprecedented.”
ARK 21Shares‘ spot Bitcoin ETF and Bitwise Bitcoin Fund secured 20th and 22nd positions in the top 25. The ProShares Bitcoin Strategy ETF launched as a futures product in October 2021, claimed the seventh spot.
“I think the real unseen force here is competition. 10 ETFs launching on same day w/ some stud issuers just made everyone hustle their ass off.”
Broader Impact and Industry Recognition
The success of these spot Bitcoin ETFs extends beyond setting new records. Their performance also stands out when compared to the largest ETF inflows of 2024.
As of February 5th, BlackRock’s IBIT ranks fifth overall, while FBTC sits comfortably in eighth position. Notably, only broad index funds tracking the S&P 500 and Vanguard’s Total Stock Market ETF have managed to surpass them in terms of inflows.
The rise of these spot Bitcoin ETFs signifies a turning point in the cryptocurrency’s mainstream adoption. With BlackRock and Fidelity entering the scene, it’s evident that Bitcoin is attracting serious interest from both individual and institutional investors.
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