BlackRock iShares Bitcoin ETF hits new record in AUM

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BlackRock iShares Bitcoin ETF hits new record in AUM

Important point:

  • BlackRock iShares Bitcoin ETF (IBIT) reached a milestone by surpassing $2 billion in assets under management (AUM), becoming the first recently launched Bitcoin Cash product to do so.
  • The fund saw quick growth, with investors adding nearly $170 million on Thursday, bringing the total number of bitcoins held to 49,952.
  • IBIT now ranks as the third fund in terms of asset pool among the more than 600 ETFs launched last year, behind only Fidelity’s Wise Origin Bitcoin Fund (FBTC), which is close to reaching $2 billion in AUM. Is.

In a significant milestone for the cryptocurrency market, the BlackRock iShares Bitcoin ETF (IBIT) has established itself as a leader in the space. On Friday, IBIT became the first recently launched Bitcoin Cash product to surpass $2 billion in assets under management (AUM). This achievement is particularly notable by not including Grayscale’s GBTC, which had approximately $30 billion in AUM at the time of its conversion from a closed-end fund to a cash ETF.

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Substantial investment and rapid growth

IBIT has seen an impressive surge in investments, with investors adding nearly $170 million to the fund as of Thursday. This investment resulted in the purchase of approximately 4,300 Bitcoin (BTC), bringing the total tokens held to 49,952. With the price of Bitcoin crossing the $40,000 level early Friday, the fund’s AUM reached more than $2 billion.

This remarkable growth puts IBIT in third place in terms of asset collection among the more than 600 ETFs launched last year. Nate Geraci, president of The ETF Store, highlighted IBIT’s impressive track record and suggested it could soon reach the number one spot in the sector.

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Competition on the horizon

A close competitor in this race for market dominance is Fidelity’s Wise Origin Bitcoin Fund (FBTC), which is fast approaching the $2 billion mark. As of January 25, FBTC held less than 44,000 Bitcoins.

In summary, IBIT’s increase in AUM to over $2 billion is not only an important milestone for BlackRock iShares, but also signals growing acceptance and confidence in Bitcoin products in the financial market. The cryptocurrency ETF sector is proving to be a dynamic and rapidly expanding sector, with competition intensifying.