Bitcoin ETFs Turn 1: Here Are Multiple Milestones Recorded
Spot Bitcoin ETF products got the green light to trade precisely a year ago after about a decade of waiting on the United States Securities and Exchange Commission (SEC). At the time, 11 different asset managers received approval to launch the product. These BTC ETF products have stunned the financial world with record milestones.
Standout Spot Bitcoin ETF Products
Bloomberg Senior ETF Analyst James Seyffart shared a chart comparing Bitcoin ETFs with their counterparts in the broader market. Per the chart, the BlackRock iShares Bitcoin Trust (IBIT) has the largest asset valuation after 1 year. The BlackRock IBIT crossed $50 billion AUM in December 2024.
IBIT is now worth $52.33 billion, beating its closest rival, the Invesco QQQ Trust Series, with $18.3 billion. Notable, Invesco QQQ Trust Series is one of the world’s largest in the broader financial world.
The Fidelity Wise Origin Bitcoin Fund (FBTC) secured third place among the best ETF launches ever. After a year, its assets under management were worth $19.681 billion. Other ETF products from ARK 21Shares and Bitwise earned $4.391 billion and $3.3829 billion, respectively.
According to Seyffart, adjusting this Bitcoin ETF’s accrued assets for inflation will still place them among the top 20. The performance aligns with earlier records that show BTC and Ethereum funds dominated across 740 ETF launches in 2024.
Tough Competitor To Gold ETFs
Acknowledging the strides of the BTC ETF products, Fox Business Journalist Eleanor Terrett also shared interesting numbers. Per her update, these ETF products have accumulated 1 million BTC units worth over $95 billion in today’s prices.
Considered the biggest asset in the world, these new ETF players also dusted Gold’s earlier milestones. The Bitcoin Exchange Traded Fund products have surpassed Gold’s AUM of $128 billion.
A little more on just how significant the $BTC ETFs have been:
Since the launch, the ETFs have accumulated over 1 million bitcoin, worth over $95 billion at today’s prices.
— Eleanor Terrett (@EleanorTerrett) January 10, 2025
As pointed out by Terrett, Gold ETFs took approximately 20 years before achieving the $128 billion milestone. BTC ETFs scored this record in a year. Considering the fast growth pace of Bitcoin over gold, Michael Saylor advised investors to ditch gold for BTC.
Price Impact and Institutional Embrace
Spot Bitcoin ETF products form one of the biggest sources of demand for the underlying current. Owing to the consistent accumulation, Bitcoin price recorded its highest level in 2024. Per an earlier Coingape report, the coin hit $108,000 in December 2024 after multiple records scored in the past months.
Institutional investors in the U.S. and worldwide bought Bitcoin ETF in the US at an unexpected pace. With Donald Trump’s incoming pro-crypto administration set to start this month, there are expectations that more favorable policies to attract firms to BTC will be rolled out.
Bitwise CIO Matt Hougan is also optimistic about these funds’ performance for 2025, highlighting them as one of the three sources of insatiable Bitcoin demand in 2025.
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