BlackRock’s IBIT ETF Breaks Records as Fastest-Growing Crypto Fund: Bloomberg
In its latest report, Bloomberg focused on the record of the BlackRock ETF, which broke industry records in the year of its launch. It noted that no ETF had such a stellar debut as it grew into a behemoth with over $50 billion in assets in less than a year, making it the fastest-growing cryptocurrency ETF in history.
IBIT’s growing size matches the total assets of more than 50 long-established European market ETFs. Todd Sohn of Strategas Securities highlighted this in a report, while Nate Geraci, president of The ETF Store, called it “the greatest launch in ETF history.”
Bloomberg Intelligence analyst James Seyffart noted: “IBIT’s growth is unprecedented. It is the fastest ETF to achieve most milestones, faster than any other ETF in any asset class,” he said. “At current asset levels and an expense ratio of 0.25%, IBIT expects to earn approximately $112 million annually,” he added.
It is worth noting that the company’s CEO, Larry Fink, once criticized Bitcoin as a tool for global money laundering, but now his views have changed and he has begun to regard Bitcoin as “digital gold.”
BlackRock entered the spot Bitcoin market with its strong ETF track record, approving and launching the first U.S. Bitcoin ETFs in January. Following the approval, BlackRock joined Fidelity, VanEck, Grayscale and others in launching the first U.S. Bitcoin ETFs. These 12 funds currently manage approximately $107 billion in assets.
BlackRock’s contribution to Bitcoin’s rise
IBIT currently holds more assets than BlackRock’s gold ETF, the world’s second largest gold fund. Notably, Geraci believes that unless Bitcoin prices plummet, IBIT could surpass SPDR Gold Shares, the largest gold ETF, in 2025.
IBIT’s success also marks an important turning point for Bitcoin, potentially increasing its legitimacy and acceptance in financial markets. It also played a major role in pushing Bitcoin prices above $100,000 for the first time, attracting institutional investors and previously skeptical individuals.
Notably, IBIT and other Bitcoin ETFs have contributed significantly to Bitcoin’s 118% price increase this year. Since launch, IBIT has only had nine days of outflows, which typically account for more than 50% of the group’s daily trading volume.
