Since launch Spot Bitcoin ETF they were a huge success thanks to the mass adoption that they enjoyed among many people institutional investors. As a result, inflows to these funds accounted for the majority of inflows recorded by their issuers since the beginning of the year.
Spot Bitcoin ETFs The main source of inflows for fund issuers
Bloomberg analyst Eric Balchunas revealed X (formerly Twitter) post BlackRock iShares Bitcoin Trust (IBIT) accounted for 26% of the asset manager’s flows across all its listed ETFs this year. For context: BlackRock Currently has 433 listed funds on the market.
Balchunas also revealed that Fidelity Wise Origin Bitcoin Fund (FBTC) accounted for 56% of Fidelity’s cash flow this year. Interestingly, IBIT and FBTC turned out to be the most effective Spot BTC ETFs, recording since their launch, total inflows have been $16.6 billion and $8.9 billion.
IBIT BlackRock too recently crossed Grayscale’s Bitcoin Trust (GBTC) will become the largest Spot Bitcoin ETF. Grayscale’s GBTC initially operated as a closed-end fund before converting to a Spot ETF, so it was the largest Bitcoin ETF at the time of its launch.
However, GBTC Grasyacle has since experienced significant outflows, allowing BlackRock to overtake it as the largest Bitcoin ETF. Data from the Arkham Intelligence analytics platform shows that Grayscale’s GBTC currently holds 287 BTC, while BlackRock currently holds almost 290 BTC.
However, despite the impressive success of BlackRock and Fidelity, these asset managers have not seen the largest inflows since the beginning of this year. Balchunas shared a chart that showed Vanguard, which does not offer any Bitcoin ETF, led all ETF issuers in year-to-date (YTD) flows with $102.8 billion inflows.
Black Rock currently ranks second with year-to-date flows of $65.1 and flows of $65.1 billion. Invesco, another Spot BTC ETF issuer, ranks third with year-to-date flows of $34.7. However, Invesco’s Spot Bitcoin ETF accounted for only 0.95 of these flows, recording total net inflows of $317.3 million year-to-date.
Huge things are yet to come for ETF issuers on the spot market
WITH bull market have not yet started in full force Spot Bitcoin ETF issuers they are expected to see higher net inflows as the market cycle progresses. It means that Black Rock and Invesco can still give Vanguard a run for its money and possibly outperform the asset manager.
Moreover, issuers of Spot Bitcoin ETFs are again seeing increased demand for their funds after recording a long period of significant outflows in April. BlackRock in particular continues to enjoy an impressive run, with the asset manager reporting: net receipts as of May 31, amounting to $169.1 million.
Featured image created with Dall.E, chart from Tradingview.com
