ETF Bitcoin: Full success for BlackRock, billions of dollars in just a few days

BlackRock’s spot Bitcoin ETF continues to set records. In just two weeks since its launch, it has accumulated over 2 billion dollars in assets under management, becoming the first new issuer to cross this symbolic threshold.

A Resounding Success for BlackRock

The spot Bitcoin ETF from BlackRock is enjoying great success with investors. Launched on January 10th after getting the green light from the SEC, it quickly gobbled up 11,500 bitcoins, the equivalent of nearly 300 million dollars, during its first two days of trading.

Two weeks later, BlackRock now manages an impressive total of 49,952 bitcoins in its ETF, valued at over 2 billion dollars at the current rate. It thus becomes the first new Bitcoin ETF issuer to cross this symbolic 2 billion dollar threshold in assets under management.

This explosive growth can be explained by two factors:

• BlackRock’s status as a behemoth in asset management. With nearly 10 trillion dollars in assets under management, BlackRock has an unparalleled network with institutional investors. Its entry into the Bitcoin ETF market reassures many investors.
• Attractive management fees. At 0.20%, the fees charged by BlackRock’s Bitcoin ETF are lower than those of its competitors like Fidelity (0.39%) or VanEck (0.25%). This is appealing to capital.

Growing Interest from Institutional Investors

The remarkable success of BlackRock’s Bitcoin ETF reveals the growing appetite of institutional investors for crypto. As massive outflows affect the Grayscale fund in recent weeks, institutional investors are increasingly turning to these new investment vehicles that ETFs represent.

In addition to BlackRock, Fidelity has also experienced great success with its own Bitcoin ETF, accumulating 1.8 billion dollars in assets in two weeks. Analysts suggest that this movement could lead to a scarcity of bitcoins available on the market.

Other asset managers are expected to follow suit. Specialists predict that Charles Schwab, another financial giant, could launch its own Bitcoin ETF soon. With potentially lower fees than 10 basis points, it could outpace its competitors.

Thanks to the success of its spot Bitcoin ETF, BlackRock has established itself as a titan in crypto finance. Its entry has energized the market and attracted traditional investors. Others are expected to follow, confirming the growing interest of the institutional world in crypto.