BlackRock Funds Acquire Shares in Bitcoin ETF; Over 600 US Firms Follow Suit
Summary:
BlackRock's income and bond-focused funds acquired shares in the company's own Bitcoin (BTC) spot exchange-traded fund (ETF) in the first quarter. Over 600 US investment firms have invested in Bitcoin ETFs since their January launch, with Millennium Management leading with a total investment of $1.9 billion. BlackRock recently had its spot Ether (ETH) ETF bid approved in the U.S.
In the first quarter, BlackRock's funds focused on income and bonds have acquired shares in the company's own Bitcoin (BTC) spot exchange-traded fund (ETF), as indicated by regulatory filings. Records from the Securities and Exchange Commission dated May 28 indicate that BlackRock’s Strategic Income Opportunities Fund (BSIIX) netted $3.56 million of iShares Bitcoin Trust (IBIT) shares, while Strategic Global Bond Fund (MAWIX) bought $485,000 worth. The IBIT shares make up a small portion of the investment portfolios of BSIIX and MAWIX, which are valued at $37.4 billion and $776.4 million respectively. As of May 24, IBIT is holding Bitcoin valued at $19.61 billion, according to BlackRock data, and is only second to the Grayscale Bitcoin Trust (GBTC), which holds $19.76 billion as of May 28. Recent data from CoinGecko indicates that Bitcoin ETFs worldwide currently hold over one million Bitcoin, valuing in excess of $68 billion — representing nearly 5.10% of the over 19.7 million BTC in circulation. Recent SEC filings reveal that over 600 US investment companies have bought Bitcoin ETFs since their introduction in January. These include firms such as Morgan Stanley, JPMorgan, Wells Fargo, Royal Bank of Canada, BNP Paribas, UBS, and hedge funds like Millennium Management and Schonfeld Strategic Advisors. Particularly, Millennium has invested the most in Bitcoin ETF, with a total of $1.9 billion, which includes $844.2 million in IBIT and $806.7 million in the Fidelity Wise Origin Bitcoin Fund (FBTC). On May 23, BlackRock joined seven other firms in having their bid for a spot Ether (ETH) ETF approved in the U.S., though the SEC's approval of the firm’s Form S-1 filings is still required before trading can begin.
Published At
5/29/2024 2:35:00 AM
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