A 13F filing reveals that two BlackRock funds from traditional portfolios are pursuing significant exposure to the Bitcoin ETF IBIT, already achieving 61% gains.
During the most recent quarter, which concluded on September 30, two BlackRock funds have been purchasing shares of the iShares Bitcoin Trust ETF (IBIT) at a rapid pace, investing a total of $78 million.
The Bitcoin ETF IBIT, which has received over $31.6 billion in net inflows, is being bolstered by the world’s largest asset manager.
BlackRock Funds Increase Their Bitcoin Exposure Through IBIT Investments
Two BlackRock funds substantially increased their holdings of the Bitcoin ETF by purchasing millions of shares during the third quarter ending September 30, 2024.
In the quarter ending September 30, the BlackRock Strategic Income Opportunities Fund (BSIIX), which oversees $39 billion in assets, acquired 2 million shares of IBIT.
This brings its total IBIT holdings to 2,140,095 shares, which are valued at approximately $118 million.
In the same vein, the BlackRock Strategic Global Bond Fund (MAWIX), which manages $816 million in assets, acquired 24,000 shares of IBIT, thereby increasing its holdings to 40,682 shares, which are currently valued at approximately $2 million.
Rick Rieder, BlackRock’s Chief Investment Officer for Global Fixed Income, is overseeing the management of both of these funds, which indicates a more comprehensive approach to the integration of cryptocurrency-related assets into conventional portfolios.
The share price of IBIT has increased by an astonishing 61% in the fourth quarter thus far.
The IBIT share price closed at $55.03 on Wednesday, November 27, with a 6.44% increase. It has achieved an astonishing 106% growth since its inception in January 2024.
Strong Institutional Interest Is Observed In Bitcoin ETF IBIT
Nevertheless, a wide range of investors, including institutional investors, hedge funds, and pension funds, have favored Bitcoin ETF IBIT.
Assets under management have now exceeded $48 billion as a result of the Bitcoin price rally to $100K, and these participants have contributed to an astonishing $31.6 billion in inflows.
Millennium Management has become the largest holder of IBIT shares, with investments comprising approximately $848 million, as indicated by the most recent 13F filings.
It is succeeded by Goldman Sachs, which possesses $461 million in IBIT shares, and Capula Management, which possesses $308 million in IBIT shares.
These filings underscore the increasing institutional interest in IBIT, which suggests that investors are confident in cryptocurrency-linked investments.
The Bitcoin ETF options also made their début on the Nasdaq last week, and IBIT options experienced record trading volumes.
Furthermore, Bitcoin ETF IBIT has demonstrated a significant advantage over its rivals.
For instance, according to Farside Investors data, Fidelity FBTC, IBIT’s immediate competitor, has recorded nearly one-third of inflows exceeding $10 billion, as opposed to IBIT’s $31 billion.
Nevertheless, the inflows have ceased over the past two days, with BlackRock’s IBIT registering negative inflows for two consecutive days as the BTC price encounters resistance at $100K levels.
The BTC price is currently trading at $96,358, representing a 1.42% increase, and has a market capitalization of over $1.906 billion as of the time of this writing.
A 13F filing reveals that two BlackRock funds from traditional portfolios are pursuing significant exposure to the Bitcoin ETF IBIT, already achieving 61% gains.
