IBIT Bitcoin ETF Smashes AUM Records as Institutional Demand Hits All-Time High
Wall Street's crypto love affair hits new heights—BlackRock's IBIT Bitcoin ETF just bulldozed through another AUM milestone. Who said institutions were 'cautious' about digital assets?
Behind the numbers: The fund's explosive growth signals a tectonic shift in capital flows. Pension funds and hedge managers are now scrambling for exposure like retail traders in a bull market.
The irony? These same institutions spent years warning about Bitcoin's volatility. Now they're piling in faster than a DeFi yield farmer spotting a fresh vault.
Capital Flows Drive BlackRock Bitcoin ETF
While bitcoin Spot Exchange-Traded Funds (ETFs) continue to record inflows, BlackRock’s BTC ETF, IBIT, is witnessing substantial growth compared to other products. Presently, the product appears to be leading the charge with a surge to new levels, surpassing other funds.
In a post on the X platform, The Kobeissi Letter, a leading commentary on the global capital market, announced that the Bitcoin ETF, IBIT, has hit a new milestone in terms of assets under management. The assets under management have surged to a value of $76 billion, highlighting the quickening rate of institutional acceptance in the cryptocurrency industry.
According to the Kobeissi Letter, total assets have tripled over the past 200 trading days, as per ZeroHedge. This fresh milestone by IBIT cements BlackRock’s dominant position in the broader spot BTC ETF sector. As the iShares Bitcoin Trust generates unprecedented AUM, it demonstrates the increasing belief among major investors that Bitcoin merits a crucial place at the global investment table.
BlackRock’s IBIT sharp rise in AUM to a new high appears to be exceptional, as many funds took several years to experience this growth. It is worth noting that it took more than 15 years for GLD, the biggest Gold ETF, to achieve the same feat.
The Kobeissi Letter also reported that the IBIT’s Bitcoin holdings have increased substantially during the period. Data from the market expert shows that IBIT BTC holding has grown to over 700,000 BTC for the first time in history.
Comparing this amount of Bitcoin acquired with that of MicroStrategy, a firm that is mainly recognized for its strategic accumulation of BTC, it is 100,000 BTC more than the total holdings of the company. Given the stunning growth of the IBIT, the Kobeissi Letter believes that the overall “crypto markets are making history.”
More Buying Interest In BTC Than ETFs
Lark Davis, a crypto expert and entrepreneur, has outlined a new trend in buying activity among institutional players. Despite the continuous capital inflows into ETFs, many investors appear to be more interested in acquiring Bitcoin directly than through ETFs.
The expert revealed that BTC purchases by public businesses are outpacing those of ETFs. In addition, Davis stated that the number of Bitcoin Treasury businesses is growing every week, as institutional investors continue to hoard BTC in unprecedented quantities. Considering this mass accumulation by public institutions, the expert is confident that the market is about to go insane from here.
