BlackRock’s Bitcoin ETF Hits $40B Fast, Sets Record

BlackRock’s Bitcoin ETF, known as IBIT, has reached a staggering $40 billion in assets within just 211 days, setting an unmatched record for the fastest growth among ETFs. Now among the top 1% of ETFs globally by assets, IBIT’s rapid success is a testament to the strength of the current crypto market and BlackRock’s swift acquisition strategy, which included nearly 9,000 BTC purchased in a single day.

As Bitcoin prices soar past $93,000, IBIT’s growth stands as a key marker in this bull market, highlighting the power of institutional interest in digital assets. According to Bloomberg’s Eric Balchunas, BlackRock's IBIT achieved a milestone that took other ETFs years. In comparison, the second-fastest ETF to reach $40 billion took 1,253 days—a record IBIT smashed by reaching that number in one-sixth of the time.

The speed and scale of BlackRock’s Bitcoin acquisitions have also outpaced other ETF issuers. This week, IBIT recorded $230.8 million in fresh inflows, bringing the total to over $1.7 billion in just a few days. Such rapid inflows underline BlackRock's dominant position in the Bitcoin ETF space, a sentiment echoed by industry analysts like Shaun Edmondson, who has observed BlackRock’s significant influence over recent Bitcoin acquisitions.

BlackRock's aggressive approach includes acquiring thousands of Bitcoins in a short span. Just yesterday, U.S. Bitcoin ETFs added 9,300 BTC, of which BlackRock alone bought 8,985. This rush for Bitcoin has led analysts like Edmondson to note that ETFs collectively are nearing the size of Satoshi Nakamoto's holdings. Grayscale, the second-largest Bitcoin holder, in contrast, slightly reduced its BTC holdings over the same period.

There’s little indication of any slowdown in the near term, as Bitcoin’s price continues to hit record levels. With IBIT closely tied to Bitcoin’s gains, the ETF's value only grows as it captures the spotlight and attracts attention from both investors and industry watchers. This remarkable growth cements BlackRock’s role as a leader in the crypto ETF market and a central player in the ongoing cryptocurrency boom.