BlackRock Drops IBIT Bitcoin Swap Minimum to $1 Million

BlackRock has reduced the minimum amount of Bitcoin required for direct swaps into its IBIT exchange-traded fund. The threshold is now $1 million, down from $25 million.

This change gives more large holders access to in-kind conversions, which allow them to transfer Bitcoin directly into the fund and receive shares without first selling their coins. This structure can also help investors avoid capital gains tax events that occur when selling Bitcoin.

BlackRock digital-assets chief Robbie Mitchnick stated that the fund should continue growing as the company expands access to investors who want Bitcoin exposure through an ETF. The IBIT fund has already processed over $5 billion through these swaps, up from $3 billion in October.