Blackrock’s bitcoin ETF has already crossed the $10 billion mark in assets under management

In just seven weeks of existence, spot bitcoin ETFs have become a flagship investment product in the United States.

There is euphoria in the spot bitcoin ETF market. Blackrock’s product, called iShares Bitcoin Trust (IBIT), has crossed the $10 billion mark in assets under management, just seven weeks after its launch. For comparison, the first gold-backed ETF in the United States, the SPDR Gold Shares (GLD), took two years to reach such an amount.

Only “about 150 ETFs out of 3,400 have more than $10 billion in assets under management,” Nate Geraci, president of the ETF Store, told The Block. According to data from the American media, trading volumes of spot bitcoin ETFs reached $4.74 billion last Thursday, after a record of $7.64 billion on Wednesday when bitcoin exceeded $60,000.

The American stock market watchdog (the SEC) authorized 11 spot bitcoin ETFs on January 10, offered in particular by asset managers like Blackrock and Fidelity. Since then, investors have been flocking to these new products. An ETF (or Exchange Traded Funds) is an index fund trading on a stock exchange which follows the evolution of a stock index (or one or more financial or physical assets, such as gold) by replicating the increase as well as the drop in the price of this index (or these assets).