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BlackRock Can't Stop Buying Bitcoin, $292 Million in One Sweep

Published 26/10/2024, 16:15
© Reuters.  BlackRock Can\'t Stop Buying Bitcoin, $292 Million in One Sweep
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U.Today - Top investment asset management firm BlackRock has stayed on top of its Bitcoin (BTC) acquisition game. On Friday, it relegated the other spot Bitcoin ETF issuers to the background by scooping up $292 million worth of the flagship digital currency.

BlackRock and institutional investors' support

According to data provided by Farside Investors, BlackRock’s iShares Bitcoin Trust (IBIT) inflows almost reached $300 million. It is worth noting that the inflows caused the firm's cumulative net inflows to surge to $23.98 billion. For the last couple of days, BlackRock leading the inflows has been the trend.

On Oct. 24, BlackRock's Bitcoin ETF stood out, receiving the bulk of inflows, with $165.54 million.

This suggests growing investors’ confidence and interest in the firm's crypto ETF products. Compared to Grayscale, which pegged its sponsor fee at 1.5%, BlackRock asks for only 0.25%. This lower fee structure could serve as the advantage that makes IBIT more attractive to institutional and retail investors, especially those who wish to balance cost efficiency and exposure.

Additionally, it reflects institutional investors' commitment to getting a slice of the highly speculative crypto market through ETFs.

Fidelity gives way for BlackRock's IBIT

Following BlackRock’s IBIT at the closest range is Fidelity’s FBTC, with $56.9 million in inflows. Notably, FBTC previously led the spot Bitcoin ETF market on Oct. 14, with $239.3 million in inflows. On this particular day, BlackRock saw only $79.5 million in inflows but has continued to lead the market since then.

On Friday, ARK 21Shares’ ARKB registered $33.4 million in inflows, while Invesco, Franklin Templeton, Valkyrie and WisdomTree’s products recorded $0 inflows. Generally, the Bitcoin ETF ecosystem is expanding at a fast rate. There is an expectation that Bitcoin ETFs will surpass 1 million BTC in holdings to outshine Satoshi Nakamoto.

The total ETF holdings represent 97% of the one million BTC target, and BlackRock is leading the issuers.

This content was originally published on U.Today

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