In a landmark achievement for cryptocurrency ETFs (exchange-traded funds), Bitcoin ETFs from well-known asset managers BlackRock and Fidelity have garnered more assets in their first month compared to any US-launched ETF in the past three decades. Available data from Bloomberg Intelligence states that BlackRock’s iShares Bitcoin Trust (IBIT) and Fidelity’s Wise Origin Bitcoin Fund (FBTC) amassed over $3 billion each during their initial 17 trading days.
Commenting on the success, Bloomberg ETF analyst Eric Balchunas stated that IBIT and FBTC have managed to set their own league apart from more than 5,500 ETFs launched over the last 30 years. This, he said, is an even more commendable achievement given that many ETFs on the list were funded by a single investor, whereas BlackRock and Fidelity’s ETFs witnessed inflows daily since their debut—an occurrence Balchunas termed as “literally unprecedented.”
Other Bitcoin ETFs also made the coveted list. The ARK 21Share’s spot Bitcoin ETF and the Bitwise Bitcoin Fund earned the 20th and 22nd spots respectively, while the ProShares Bitcoin Strategy ETF, which was launched as a futures product in October 2021, bagged the seventh place.
Balchunas highlighted that the dataset excluded ETFs that were converted, like Grayscale’s Bitcoin Trust (GBTC), and approximately 100 mutual funds that transitioned to ETFs. He acknowledged that outbound flow from Grayscale’s Bitcoin Trust may have influenced the Bitcoin ETFs’ performance. However, he cautioned against dismissing the impact of competition, with multiple ETFs launching concurrently inspiring more aggressive outreach efforts.
The debut performance of IBIT and FBTC is also noteworthy when compared to the largest ETFs by flow in 2024. As per Bloomberg’s data, BlackRock’s Bitcoin ETF ranks fifth, while FBTC is not far behind at eighth. Only three broad index funds tracking the S&P 500 and Vanguard’s Total Stock Market ETF have managed to surpass IBIT.