BlackRock’s iShares Bitcoin Trust has emerged as the world’s largest spot Bitcoin exchange-traded fund (ETF), amassing assets nearing $20 billion since its debut in the United States earlier this year.
According to data compiled by Bloomberg on Tuesday, the ETF now holds Bitcoin assets valued at $19.68 billion.
This milestone has dethroned the Grayscale Bitcoin Trust, which currently holds assets worth $19.65 billion. The third-largest fund in this category is Fidelity Investments’ Bitcoin ETF, with total assets of $11.1 billion.
The BlackRock and Fidelity Bitcoin ETFs were among nine funds that launched on January 11, the same day the decade-old Grayscale Bitcoin Trust transitioned into an ETF.
The launch of these funds marked a significant turning point for cryptocurrencies, making Bitcoin more accessible to investors and driving its price to a record high of $73,798 by March.
The iShares Bitcoin Trust has attracted the largest volume of financial inflows, totaling $16.5 billion since its inception.
In contrast, investors have withdrawn $17.7 billion from the Grayscale Bitcoin Trust over the same period, with high fees cited as a potential reason for the outflows.
Neither BlackRock nor Grayscale Investments immediately responded to requests for comment outside regular U.S. business hours.
Grayscale plans to launch a version of its flagship fund with lower fees, according to a regulatory filing in March, as reported by a person familiar with the matter.
The U.S. Securities and Exchange Commission (SEC) reluctantly approved the first spot Bitcoin ETFs in January after a court overturned its 2023 decision to block these funds in a case brought by Grayscale.
Established in 2013, the Grayscale Bitcoin Trust gained recognition as the largest investment fund of its kind.
However, investors often traded their shares at significant premiums or discounts to the net asset value (NAV), prompting Grayscale to push for its conversion into an ETF to ensure it trades at NAV.
