BlackRock’s iShares Bitcoin Trust (IBIT) has surpassed $50 billion in assets under management, achieving the milestone in just 228 days—more than five times faster than any other ETF in history.
To put this in perspective, it took BlackRock’s iShares MSCI EAFE (IEFA) 1,329 working days to achieve the same milestone. When you say “Answer” to the question, it means that Eric Balchunas, senior ETF analyst at Bloomberg.
IBIT’s rapid growth coincides with an historic year in Bitcoin (BTC). This is the largest cryptocurrency in the world. The $100,000 Barrier For the first time, Wednesday’s closing price was $103,000. This is after a rise of over 140% by 2024.
IBIT’s performance highlights the importance of Bitcoin spot as a form of institutional investment. Bitcoin ETFs Adoption is a driving force.
IBIT and other Bitcoin-specific ETFs have played a major role in bringing more traditional investors into this market.
The U.S. Securities and Exchange Commission approved these funds in January. They offer direct access to Bitcoin without having to deal with the hassles of crypto exchanges or custody.
After years of regulatory opposition, the approval resulted in a massive inflow of investors who were previously reluctant to invest in this area.
According to data from Farside Investors.
Talking to DecryptBitfinex’s analysts pointed out that new demand by investors was a key factor in Bitcoin’s record breaking year.
“The ability of BTC to make new ATHs every week, despite profit-taking, is due to the fresh demand coming into the market from new investors,” The analysts stated. “Any selling has been absorbed and outpaced by strong ETF inflows and subsequent buying from institutions.”
BlackRock IBIT is set to gain momentum with the new administration. Donald Trump is the new PresidentIt was accompanied by bold promises in favor of cryptography upon his return to White House.
Trump pledged support for the crypto industry in America, which includes proposals to establish a U.S. bitcoin reserve and to protect American crypto-mining operations.
SEC Chair anti-crypto Gary Gensler’s departure You can also read about the Paul Atkins, nomineeAnalysts anticipate a move toward a more cooperative regulatory framework in the crypto industry., who is a former SEC official known for advocating policies that are market-friendly, has been a vocal advocate for market-friendly practices.
Bitcoin and crypto-backed exchange traded funds (ETFs) like IBIT have become more than just speculative investments. They are now seen as useful tools to diversify and stabilize your portfolio, as the regulatory pressures will be eased.
Sebastian Sinclair edited the book