BlackRock’s Bitcoin ETF (IBIT) Smashes 700K BTC Milestone – Here’s Why It’s Just Getting Started

Wall Street’s crypto embrace hits hyperdrive as BlackRock’s IBIT ETF gobbles up enough Bitcoin to make a Satoshi purr. The $40B+ whale now holds over 700,000 BTC – roughly 3.5% of the entire supply. Forget ‘digital gold’ – this is institutional FOMO on blockchain steroids.

Why TradFi Can’t Quit Bitcoin

Pension funds and boomer investors are flooding in despite SEC side-eye. BlackRock’s move mirrors Goldman’s 2021 Bitcoin futures play – except now they’re hoarding the real thing. The irony? Banks spent a decade mocking crypto before becoming its biggest bagholders.

The Liquidity Tsunami

With Grayscale’s GBTC bleeding assets, IBIT is vacuuming up market share. Analysts predict the ETF could hit 1M BTC by 2026 if inflows keep pace. Not bad for an asset class that was ‘supposed to be dead’ after FTX.

Just wait until the Fed cuts rates again – these paper-handed institutions might finally learn what diamond hands feel like.

Key Insights:

• IBIT crossed the 700,000 Bitcoin milestone after a $164.6 million Bitcoin ETF inflow, reaching over $75.5 billion in value.
• Anthony Pompliano stated that IBIT has generated more revenue than BlackRock’s S&P 500 fund.
• ETFs and treasuries bought more BTC than miners issued throughout 2025.

BlackRock’s Bitcoin ETF (IBIT) crossed 700,000 BTC on July 7, 2025, after a $164.6 million inflow.

Managed in the United States, the fund now holds over $75 billion worth of Bitcoin.

Analysts attributed this growth to strong demand for ETFs and rising corporate treasury activity.

IBIT Bitcoin ETF Reaches 700,000 BTC as Market Demand Climbs

BlackRock’s iShares Bitcoin Trust (IBIT) surpassed 700,000 BTC on July 7, 2025.

The U.S.-based fund, managed by the world’s largest asset manager, reached the milestone following a single-day inflow worth $164.6 million.

It is worth noting that this pushed the fund’s total holdings to over $75.5 billion in Bitcoin.

In a recent post on X, Thomas Fahrer, a co-founder at Apollo, reported the 700,307 BTC holding in IBIT.

BlackRock, the IBIT issuer, confirmed the figure of 698,919 BTC as of last Thursday. The fund added 1,388 BTC in just two days.

With this outlook, the BlackRock bitcoin ETF is now the most successful in the US.

IBIT accounted for more than 55% of U.S. spot Bitcoin ETFs. Since its launch in January 2024, it has achieved a return of 82.67%.

It is also important to note that the fund’s performance reflected the broader demand for regulated Bitcoin exposure.

Data from Farside Investors also showed a $6.2 million inflow on July 7 alone. A FLOW table attached to their report displayed steady BTC accumulation.

Data also shows that the cumulative flows have been climbing since the ETF’s introduction.

According to general perception, IBIT’s expansion was viewed within the context of increasing institutional interest.

Some market participants and analysts pointed to a limited supply of Bitcoin as a factor.

Miner issuance was recorded at $7.85 billion in 2025, while ETF and treasury purchases reached $28.22 billion.

The figures suggested that demand from large buyers consistently outpaced the available monthly supply.

February was the only month to show a net selling gain, with $842 million recorded.

A chart included in the Farside report depicted long-term cumulative growth. It marked a total Flow peak of $13.73 billion across U.S. Bitcoin ETFs.

Pompliano on IBIT Dethroning S&P 500 in Fund Revenue

Anthony Pompliano, a known market analyst, reacted to the IBIT milestone on social media.

Writing on X, he stated that IBIT had earned more revenue than BlackRock’s S&P 500 ETF.

He did not offer further context or specific figures. He added that this shift might encourage more financial institutions to explore digital asset products.

The post gained attention following the 700,000 BTC update and drew interest from industry watchers.

Based on general market observations, his statement suggested a potential shift in institutional strategy.

The success of IBIT may indicate growing investor confidence in Bitcoin as part of a diversified portfolio.

Although Pompliano did not provide details, his message aligned with recent trends.

The ETF’s performance had surpassed many traditional fund benchmarks.

Bitcoin ETF Growth and Treasury Buys Influence Bitcoin Supply Trends

It is worth noting that Bitcoin ETF activity and corporate treasury accumulation expanded across 2025.

For example, entities such as BlackRock and Strategy played key roles in this shift.

Strategy, led by Michael Saylor, has continued to acquire large amounts of BTC. Together with ETF funds, their purchases exceeded miner issuance nearly every month.

According to Galaxy Research, this trend started soon after the launch of IBIT. Monthly tracking reports confirmed a clear imbalance between supply and demand.

Farside Investors documented consistent inflows. The platform’s data highlighted both daily and cumulative activity.

Market participants viewed this behavior as a signal of institutional confidence. ETF demand had become a major force in Bitcoin’s financial narrative.

BlackRock’s position remained central. As the leading ETF provider, its activity shaped market sentiment and influenced investor behavior.

The ongoing interaction between ETF accumulation and miner output WOULD continue to guide Bitcoin’s supply dynamics.

More importantly, analysts suggested the pattern could persist if current buying rates held steady.