BlackRock’s Spot Bitcoin ETF Surpasses 100K BTC in Assets Under Management

BlackRock’s Spot Bitcoin ETF Surpasses 100K BTC in Assets Under Management

BlackRock listed iShares Bitcoin Trust on 11th January, and completed 100K AUM in one month of launch. As per reports, the net inflows on iShares shares have reached a new ATH of $631.3 million. As per recent statistics, the IBIT fund is now managing 100 thousand Bitcoin units on behalf of investors.

The data projections issued by BlackRock analysts indicated that IBIT acquired 105,280 Bitcoins on 13th February.

IBIT is the first Bitcoin spot ETF in the United States to reach the 100K Bitcoin in AUM. The asset management firm confirmed the feat after 30 days of trading. It is worth noting that the Securities and Exchange Commission of the United States (SEC) approved 10 other Bitcoin spot ETFs in addition to IBIT ETF on the same date.

Since the launch date, BlackRock has increased IBIT’s holdings by 3,700%. On 11th January, the firm held 2,621 Bitcoins and on 13th Feb, it reported around 100K Bitcoins in AUM.

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Fidelity’s Bitcoin ETF

Fidelity’s Wise Origin Bitcoin Fund (FBTC) ranks second with 83,925 Bitcoins in AUM as of 13th February. Meanwhile, the biggest Bitcoin Trust namely Grayscale has continued to report outflows since converting to a spot ETF.

To this effect, GBTC has liquidated holdings by 25% reporting 463,475 Bitcoin as of 13th February. According to data projections from Farside Investors, daily inflows of 10 spot ETF issuers are around $631.3 million. Meanwhile, IBIT claims $493 million in inflows of this total daily inflow. 

Rise of IBIT Demand

The investment interest in IBIT has continued to increase since its inception. The asset management firm is reportedly dealing with the overwhelming demand among investors. The OTC platforms that had been supplying Bitcoins to the asset management giant ran out of tokens and the entity had to order more Bitcoins from the Coinbase exchange. The news has also proven great for spot market traders.

With the listing of several Bitcoin spot ETFs in the markets, Bitcoin prices have crossed $51K for the first time since November 2021. To this end, Bitcoin reclaimed a $1 trillion market cap on 14th February, marking the second time to cross this level in history.

As per CoinGecko, Bitcoin is currently trading at $51,383, adding 20% since during the last month. Meanwhile, the Fear and Greed Index score of Bitcoin has started to mimic the same trail as November, 2021.

The index reading was 79 2 years ago when Bitcoin prices recorded a new ATH of around $70K. As per data projections, the index has reached the same level as of 13th February for the first time since November 2021.

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On the same topic, BlackRock recently released a new advert for its Bitcoin spot ETF. The firm referred to the fund as a progressive investment opportunity for potential investors.

At the same time, a senior ETF analyst talked about the seemingly boring approach to IBIT advertisement in comparison to competitors. The ad indicates a silhouette of an airplane contrast against a yellow background prompting the investors to participate in progressive investment.

Bloomberg analyst Eric Balchunas noted that the increase in IBIT ads makes sense in the pretext of the firm’s goals to become the pullaway as the liquidity king in the crypto spot ETF section.

BlackRock’s Advertisement of Bitcoin

BlackRock introduced its first IBTI advert to intrigue investment interest from the pre-Millennial aisle. In the words of Balchunas, the firm has equated the flagship currency with progress rather than comparing it with securities or commodities.

The first ad was a two-minute video that featured senior BlackRock executives briefing investors about the design and inner workings of the digital fund.

Head of thematics and alternative ETFs at BlackRock, Jay Jacobs starred in the ad. He informed the investors about accessibility, hassle-free, and regulated warranties that come with IBIT investment. The ad refrained from using jargon and complex technical phrases to reel in the right audience.

Analyst Eric Balchunas commented that the asset management firm had published a series of amazing ads that addressed the concerns of a new class of investors. He further stated that the advertisement reassured investors who had been skeptical about Bitcoin by bringing it into the regulated asset category with the reassurance of BlackRock’s brand.

Author: Isacco Genovesi

Isacco writes news articles, reviews and guides about cryptocurrencies including technical analysis, blockchain events, coin prices marketcap and detailed reviews on crypto exchanges and trading platforms.

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