BlackRock’s Bitcoin ETF Reaches $36 Billion in Record-Breaking Inflows

TLDR

• BlackRock’s IBIT Bitcoin ETF secured over $36.3 billion in net flows in 11 months, becoming the most successful ETF launch in a decade
• IBIT outperformed approximately 2,850 ETFs launched since 2014
• The fund achieved a record single-day inflow of over $1.1 billion
• Total Bitcoin ETF assets under management reached $130 billion, surpassing gold ETFs
• Despite GBTC’s $21 billion outflows, spot Bitcoin ETFs secured over $36 billion in year-to-date flows

BlackRock’s spot Bitcoin ETF (IBIT) has emerged as the most successful ETF launch of the past decade, gathering more than $36.3 billion in net flows since its inception. The fund, which began trading just 11 months ago, has surpassed approximately 2,850 other ETFs launched since 2014.

According to data from Farside Investors, IBIT’s performance has exceeded all other US-traded spot Bitcoin ETFs. The fund’s success is particularly notable when compared to its closest competitor, Fidelity’s FBTC, which has accumulated $12.4 billion in inflows – less than half of IBIT’s total.

The ETF achieved another milestone by recording the highest single-day inflow among Bitcoin ETFs, bringing in over $1.1 billion in just 24 hours. This amount is more than double the previous record of $473.4 million, set by Fidelity’s FBTC.

On December 16, 2024, IBIT added another $418.8 million to its impressive track record of positive net flows. This consistent growth has helped establish the fund as a dominant force in the ETF market.

The broader Bitcoin ETF market has shown remarkable strength, with total inflows exceeding $36 billion year-to-date. This achievement is particularly noteworthy considering it occurred despite Grayscale’s GBTC experiencing $21 billion in outflows following its conversion.

With this inflow, I show IBIT is now the most successful ETF launch over past 10yrs…

Out of approx 2,850 ETFs.

In other words, IBIT has more *lifetime* inflows than any ETF launched since 2014.

Did this in just over 11mos. https://t.co/40xQ60JewL

— Nate Geraci (@NateGeraci) December 17, 2024

The combined assets under management of US-traded Bitcoin ETFs, including futures and leveraged products, have reached $130 billion. This figure surpasses the $128 billion held in gold ETFs, as reported by Bloomberg senior ETF analyst Eric Balchunas.

Looking at spot Bitcoin ETFs alone, their total assets under management stand at nearly $117 billion after just 11 months of trading. This rapid growth has surprised many market observers, including Balchunas, who described the pace as “unreal.”

These ETF products have provided US-based institutional investors with a regulated method to gain exposure to cryptocurrencies, particularly Bitcoin and Ethereum. The structured investment vehicles have made it easier for traditional financial institutions to participate in the crypto market.

The success of these products has coincided with Bitcoin’s strong performance throughout the year. Bitfinex analysts have identified ETF adoption as one of the key factors that could alter Bitcoin’s traditional market cycles.

BlackRock’s achievement with IBIT represents a major milestone in the mainstreaming of cryptocurrency investments. The fund’s record-breaking inflows demonstrate strong institutional demand for regulated crypto investment products.

The performance gap between IBIT and other Bitcoin ETFs highlights BlackRock’s strong position in the market. The firm’s established reputation and wide distribution network have likely contributed to its ability to attract substantial investments.

Monthly inflow patterns show consistent growth for IBIT, indicating sustained interest from investors rather than short-term speculation. This steady accumulation suggests a long-term investment approach from institutional participants.

The success of Bitcoin ETFs has occurred across multiple providers, though with varying degrees of market penetration. While BlackRock leads the pack, other major financial institutions have also captured substantial market share.

Market data indicates that the majority of IBIT’s inflows have come from institutional investors, showing strong professional interest in regulated crypto investment vehicles. This institutional adoption represents a shift from earlier years when crypto investments were dominated by retail investors.

The latest figures from December 2024 show continuing momentum for IBIT, with daily inflows remaining strong even after eleven months of trading.