BlackRock’s IBIT Becomes Fastest ETF in History to Hit $50B in AUM

BlackRock’s iShares Bitcoin Trust (IBIT), launched on January 11, has become the fastest exchange-traded fund (ETF) to reach $50 billion in assets under management (AUM). Data from SosoValue shows that IBIT currently has $50.60 billion in AUM.

The AUM refers to the total value of Bitcoin managed by the fund. In the context of a spot Bitcoin ETF, the AUM is directly tied to the value of the BTC held by the ETF, as it aims to mirror the price movements of the digital asset in the spot market.

Five-Times Faster

According to Bloomberg senior ETF analyst Eric Balchunas, it took IBIT only 228 days to reach this milestone, adding that the previous record holder, BlackRock’s iShares Core MSCI EAFE ETF (IEFA), took 1,329 days to achieve the same. This means that IBIT achieved this feat 5x faster than any ETF ever launched.

Among the 11 spot Bitcoin ETFs launched in January, BlackRock’s IBIT has continued to outperform others in multiple metrics. Within five months of its release, it surpassed the pre-existing Grayscale Bitcoin Trust (GBTC) in AUM.

IBIT is also the highest in terms of historical net inflows. On its most recent trading day (December 4), the fund pulled in the highest inflow amongst its peers, totaling $571.71 million. This took its historical net inflow to a staggering $33.34 billion, according to Sosovalue.

Increasing Institutional Investment in Bitcoin

IBIT’s rapid growth reflects heightened investor confidence in Bitcoin exposure via traditional financial instruments.

Moreover, the approval and success of spot Bitcoin ETFs have driven increased institutional investment in BTC. As of the time of writing, the total net asset value (NAV) of spot Bitcoin ETFs stands at $108.23 billion, representing 5.54% of Bitcoin’s market value. The fund’s historical cumulative net inflow has crossed $32.29 billion.

Meanwhile, the heightened activity around these ETFs coincides with a significant upsurge in the price of BTC. The original cryptocurrency rose 6% to hit a new all-time high (ATH) of $103,679 earlier Thursday.