BlackRock’s $17.1B Global Allocation Fund Boosts Bitcoin Holdings by 38% in Major Crypto Move

Wall Street's heavyweight just doubled down on digital gold.

MASSIVE INSTITUTIONAL SHIFT

BlackRock's Global Allocation Fund—that $17.1 billion behemoth—just cranked its Bitcoin exposure up by 38%. Not a tentative dip, but a full-throated endorsement from the world's largest asset manager. They're not just testing the waters anymore; they're building arks.

THE NEW DIVERSIFICATION PLAYBOOK

Traditional 60/40 portfolios look downright archaic when the firm managing $10 trillion decides crypto belongs in mainstream allocation strategies. This isn't fringe money—it's core fund capital getting repositioned for the digital age. The move signals that Bitcoin's volatility no longer scares institutions; irrelevance does.

WHY THIS HURTS LEGACY FINANCE EGO

Watching conservative pension funds and endowments now follow BlackRock into crypto must sting for bankers who spent years dismissing Bitcoin as a 'fraud'. Meanwhile, that 38% bump probably generated more alpha than their entire derivatives desk last quarter. Sometimes disruption wears a suit.

The dam isn't breaking—it's already broken. And the water's looking mighty digital.

Targeting the 1%-2% range

IBIT represents 0.4% of the Global Allocation Fund’s $17.1 billion assets under management, a 62.5% increase from the 0.25% allocation recorded in the first quarter.

The current weighting marks substantial growth from the 0.1% position held in October 2024.

BlackRock recommended 1% to 2% Bitcoin allocation as a “reasonable range” in its model portfolio on Feb. 28, positioning the Global Allocation Fund below its target range.

The recent increases indicate movement toward this recommended exposure level through gradual and cautious accumulation.

The Global Allocation Fund invests across US and international equities, debt securities, money market instruments, and other short-term assets. Portfolio composition varies periodically in response to market conditions and investment opportunities.

BlackRock launched IBIT in January 2024 as part of the first wave of spot Bitcoin ETFs approved by the Securities and Exchange Commission. As of Sept. 25, the fund has the largest Bitcoin ETF, with nearly $61 billion in cumulative net flows.

The Global Allocation Fund’s methodical approach to Bitcoin allocation demonstrates institutional investment strategies for crypto exposure.

BlackRock continues building its position toward recommended portfolio weightings while managing volatility through gradual accumulation.