Another BlackRock mutual fund can now allocate to bitcoin ETFs  (2024)

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Another BlackRock mutual fund can now allocate to bitcoin ETFs ? ›

Three BlackRock funds now have the ability to allocate to bitcoin ETFs. The fund giant — with roughly $10 trillion in assets under management — said in a Thursday filing that it may buy shares of bitcoin exchange-traded products (ETPs) traded on “national securities exchanges” for the BlackRock Global Allocation Fund.

In less than two months of existence, the BlackRock iShares Bitcoin ETF (IBIT) has accumulated more bitcoin (BTC) than MicroStrategy (MSTR).

However, investing in crypto ETFs is not without risk. The market is volatile, with prices fluctuating significantly in short periods. In addition, the regulatory landscape for crypto is evolving, and changes in regulations will undoubtedly impact the performance and availability of these ETFs.

BlackRock now uses Coinbase as a custodian for its spot bitcoin ETF. BlackRock's crypto ambitions today extend beyond bitcoin. The asset manager has a pending application with the SEC to launch an ETF holding ether, the second-largest cryptocurrency after bitcoin and the in-house token on the Ethereum blockchain.

Like many of the new spot bitcoin ETFs, the iShares Bitcoin Trust uses a fee waiver to lower the initial cost of investing and attract more investors. For the first 12 months of trading or the first $5 billion in fund assets (whichever comes first), the annual fee will be just 0.12%.

Bitcoin strategy ETFs attempt to track the price of Bitcoin indirectly. Many started trading well before the first spot Bitcoin ETF approvals, and they're still available today.

However, Vanguard does not have plans to create a Vanguard bitcoin ETF or other crypto-related products. Additionally, such products from other issuers will not be offered on our brokerage platform.

Clients looking for spot Bitcoin ETFs can find these and other third-party ETF and mutual fund products available at Schwab. These funds invest in cryptocurrencies, cryptocurrency futures contracts, or equities related to cryptocurrencies.

The Fidelity^® Wise Origin^® Bitcoin Fund (FBTC) is an exchange-traded product that seeks to track the performance of bitcoin. FBTC provides investors with the opportunity to gain exposure to the price of bitcoin in a familiar investment structure that passively invests in bitcoin.

Is it a good idea to invest in Bitcoin ETF? ›

Plus, bitcoin ETFs will make it easier for financial advisers to access the cryptocurrency for their clients who can afford to invest in alternative asset classes. But make no mistake, the price of a bitcoin will be just as volatile whether you invest in it directly yourself or through an ETF.

If long-term price performance is your only investment goal, then the new Bitcoin ETFs make a lot of sense. However, you could prefer direct-asset ownership of Bitcoin if you are concerned about the regulatory or legal aspects of crypto.

Currently Coinbase, Kraken's U.S. rival, dominates the spot bitcoin ETF custody space, serving as custodian for about 90% of the billions of dollars in assets under management.

The largest BlackRock ETF is the iShares Core S&P 500 ETF (IVV). Other popular ETFs such as the iShares Core MSCI EAFE ETF (IEFA) and iShares Core U.S. Aggregate Bond ETF (AGG) are under the iShares brand.

#Blackrock added 8,020 $BTC(+$570.55M) and currently holds 223,646 $BTC($15.9B). BlackRock is leading other institutions, including Fidelity, in accumulating Bitcoin as the demand skyrockets – the influx of billions follows the approval of 11 spot Bitcoin exchange-traded funds (ETFs) in January 2024.

BlackRock manages the fastest growing bitcoin fund. The firm rakes in billions of dollars selling bitcoin in a low cost and popular exchange traded fund or ETF.

1. Blackrock's iShares Bitcoin Trust. BlackRock, the world's largest asset manager with $10 trillion in assets under management, is a prominent leader in the exchange-traded fund industry. It launched iShares Bitcoin Trust (NASDAQ: IBIT) in January 2024, which recently saw a record $849 million inflow.

Jan 19 (Reuters) - BlackRock's spot bitcoin exchange-traded fund (ETF) hit $1 billion in assets in the first four days of trading, the first to clinch the milestone among a batch of newly launched ETFs tracking spot bitcoin prices, J.P.Morgan data showed.

BlackRock manages the fastest growing bitcoin fund. The firm rakes in billions of dollars selling bitcoin in a low cost and popular exchange traded fund or ETF.

BREAKING: BlackRock's Bitcoin ETF, $IBIT, hits a record $10 billion in assets under management. This is the fastest an ETF has hit $10 billion in assets under management, at 37 trading days. Just ~4% of all ETFs have reached the $10 billion mark.