Anniversary of Bitcoin Spot ETFs: Assessing Trading Volumes, Key Players, and Widespread Acceptance
In the past year, Bitcoin ETFs in the United States have experienced remarkable growth, particularly BlackRock’s iShares Bitcoin Trust (IBIT). After just 341 trading days, IBIT has amassed around $70 billion in assets under management (AUM), making it the fastest US ETF to reach such a scale[1].
IBIT's success is evident in its cumulative inflows, which surpassed $52 billion since its January 2024 launch[1][2]. This rapid growth sets a new benchmark for ETF launches in the U.S., outperforming even the fastest gold ETF growth periods.
Comparatively, gold ETFs have historically taken much longer to reach similar levels of assets due to the newer demand and regulatory approvals for Bitcoin ETFs. IBIT's speedy accumulation of AUM has also outpaced large equity ETFs like the SPDR Portfolio S&P 500 ETF and Vanguard Total Stock Market ETF, with IBIT's inflows recently exceeding the former and approaching the latter[1].
IBIT now holds the fourth-largest ETF position in the U.S. marketplace, a remarkable feat for a product just over a year old[1]. Meanwhile, Fidelity's FBTC ranks second by AUM ($19.5 billion), and combined trading volume for these ETFs reached an impressive $660 billion[1].
The approval of the first Bitcoin ETF granted Bitcoin a measure of "legitimacy" at a regulatory level, and it has provided a familiar format for investors to access Bitcoin, making buying Bitcoin straightforward for most market participants. The popularity of IBIT is also felt in the options market, as noted by Greg Magadini, Director of Derivatives at Amberdata[1].
Eric Turner, CEO of Bitwise, attributes the interest in these new instruments to fiscal policies in 2024[1]. Bobby Zagotta, Head of the U.S. division at crypto exchange Bitstamp, emphasized the importance of the first Bitcoin ETF approval, stating that it gave Bitcoin two critical advantages[1].
As we approach the 12-month mark for these ETFs, financial advisors are expected to boost their ETF positions in Bitcoin and Ethereum by over 50% in 2025[1]. This trend suggests that the growth of these ETFs is likely to continue, cementing their role in the U.S. investment landscape.
| ETF Type | Approx. AUM After 1 Year | Notable Speed & Ranking | |-------------------------|-------------------------|----------------------------------------------| | Bitcoin ETF (IBIT) | ~$70 billion | Fastest U.S. ETF to reach $70B, 4th largest ETF overall[1] | | Ethereum ETF (ETHA) | $10 billion | 3rd-fastest to hit $10 billion[3] | | Gold ETFs | Variable (slower growth historically) | Slower to reach comparable levels versus crypto ETFs | | Top U.S. ETFs (e.g., SPLG, VTI) | Typically older, slower inflows post-launch | IBIT’s inflows have recently surpassed SPLG and approach VTI[1] |
[1] CoinDesk, (2024), BlackRock’s iShares Bitcoin Trust hits $70 billion in AUM [2] Bloomberg, (2024), Bitcoin ETFs Surpass Gold ETFs in Assets Under Management [3] Barron's, (2024), Spot Bitcoin and Ethereum ETFs Redefine AUM Growth Records
- The success of Bitcoin in the finance industry is evident through the rapid growth of Bitcoin ETFs, with BlackRock’s iShares Bitcoin Trust (IBIT) reaching approximately $70 billion in assets under management (AUM) within a year, making it the fastest US ETF to gather such a scale.
- Investing in technology has significantly expanded with the introduction of cryptocurrency ETFs, as demonstrated by the impressive one-year growth of IBIT, which has outpaced not only gold ETFs but also large equity ETFs like the SPDR Portfolio S&P 500 ETF and Vanguard Total Stock Market ETF.
