BlackRock Clients Buy $115M Worth of Bitcoin Through Regulated Fund
BlackRock's clients have been buying up Bitcoin through the iShares Bitcoin Trust ETF (IBIT), a regulated US spot Bitcoin fund. In recent times, IBIT has attracted around 75% of new capital flowing into US spot Bitcoin ETFs, managing approximately $59 billion in assets since its launch in January 2024.
The purchases indicate growing institutional demand for regulated Bitcoin exposure, primarily from pension funds and wealth managers using Bitcoin as part of diversified portfolios. However, this concentration of ETF capital in IBIT raises concerns about potential market risks if the fund faces operational or regulatory issues.