BlackRock Scales Up Bitcoin Conversion Program, Capturing $5B in Trades

BlackRock's in-kind conversion program has processed over $5 billion in direct Bitcoin-to-IBIT swaps as of August 2026, up from around $3 billion in October 2025.

The firm slashed the minimum transaction size for in-kind conversions from $25 million to $1 million in July 2026, opening the program to a broader class of high-net-worth individuals and institutions.

By converting their Bitcoin into IBIT shares, holders can tap into the familiar infrastructure of Wall Street, transferring custodial risk to Coinbase and the ETF ecosystem.

This approach sidesteps capital gains tax events by treating transactions as like-kind exchanges rather than sales, although the deferred tax liability will eventually come due when the shares are sold.