iShares Bitcoin Trust managed by BlackRock has reached a historic milestone, becoming the first ETF to surpass $80 billion in assets under management in just 374 days.
Record Growth of iShares Bitcoin Trust
The iShares Bitcoin Trust (IBIT) has grown to over $80 billion in assets in just 374 days since its launch. According to figures from July 10, the fund attracted $448 million in net inflows in a single day, while the daily trading volume reached $5.39 billion. The current share price of IBIT is about $64.50, with a net asset value of $80.11 billion. Notably, the fund holds over 700,000 BTC, placing it among the largest institutional Bitcoin holders worldwide.
Comparison with Traditional ETFs
IBIT showcases impressive growth compared to traditional ETFs. For instance, established funds like the iShares Core MSCI EAFE ETF and the iShares Core MSCI Emerging Markets ETF took over 2,000 days to reach a similar asset level. Bloomberg analyst Eric Balchunas described IBIT's growth as 'historic,' noting it reached this size five times faster than any previous fund. This rapid growth has also boosted the total AUM for all US-listed Bitcoin ETFs to over $140 billion.
Bitcoin's Role as a Store of Value
The rise of IBIT signifies a shift in Bitcoin's perception as a store of value. Compared to traditional gold ETFs, IBIT reached $70 billion AUM five times faster. This indicates that many investors now view Bitcoin as an alternative hedge against inflation. With global economic uncertainty, institutions are looking to diversify their assets, further positioning Bitcoin as 'digital gold' in the financial markets.
The achievements of iShares Bitcoin Trust not only highlight the interest of institutional investors in Bitcoin but also signal a growing legitimacy of cryptocurrencies in the financial world. Continued growth of IBIT may lead to further integration of digital assets into traditional finance.
