BlackRock's IBIT Overtakes Grayscale's GBTC in Bitcoin Holdings Amid Record Inflows

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Quick Take

Bitcoin ETFs saw $45 million in net inflows** on May 28, with **BlackRock’s IBIT** leading at **$102.5 million, pushing its total net inflows to $16.5 billion**. Fidelity’s FBTC followed with **$34.3 million ($8.7 billion cumulative). Meanwhile, **Grayscale’s GBTC** reported **$105.2 million in outflows, widening its net outflows to $17.7 billion**.

Key Milestones

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Bitcoin ETF Flow Analysis (May 28)

| ETF | Inflows/Outflows | Total Net Flow | BTC Held |
|-----------|------------------|----------------|----------------|
| IBIT | +$102.5M | $16.5B | 288,670 BTC |
| FBTC | +$34.3M | $8.7B | 163,000 BTC |
| GBTC | -$105.2M | -$17.7B | 287,450 BTC |

Data sources: Farside, HeyApollo


Why IBIT’s Dominance Matters

  1. Investor Confidence: Reflects institutional trust in BlackRock’s product.
  2. Market Shifts: Signals a move from legacy GBTC to newer ETFs.
  3. Liquidity Impact: IBIT’s growth enhances Bitcoin’s tradable supply.

FAQ

Q: What caused GBTC’s outflows?
A: Higher fees (1.5% vs. 0.12–0.25% for rivals) and profit-taking by early investors.

Q: How does IBIT’s BTC holding compare to MicroStrategy?
A: MicroStrategy holds 214,400 BTC (as of May 2024)—still less than IBIT.

Q: Are Bitcoin ETFs affecting BTC’s price?
A: Yes. Consistent ETF demand creates upward pressure, offsetting sell-offs.

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Final Thoughts

The ETF race underscores Bitcoin’s maturing market. With IBIT setting new records, the focus now shifts to sustainability and broader adoption.