BlackRock's iShares Surpasses Grayscale's GBTC as Biggest Digital Asset Fund

By: Isha Das

Bitcoin and Ethereum ETF Gains Propel BlackRock Ahead

In a notable development for the cryptocurrency sector, BlackRock's iShares has officially overtaken Grayscale's GBTC as the largest digital asset fund by assets under management (AUM). This shift highlights the increasing interest and investment in cryptocurrency-related financial products from traditional finance giants.

According to recent data, Bitcoin ETFs experienced significant movements on August 14, with an outflow of $81.4 million. Despite the overall withdrawals seen among other top issuers, BlackRock's IBIT fund continued to show resilience, registering an inflow and setting it apart as a leading performer in the space. Comparatively, Fidelity's FBTC saw an $18 million outflow, Bitwise's BITB lost $5.8 million, Ark's ARKB experienced withdrawals amounting to $6.8 million, and Grayscale's GBTC suffered a substantial outflow of $56.9 million. Notably, the total inflows into Bitcoin ETFs have reached an impressive $17.3 billion, indicating sustained interest in these financial instruments.

James Butterfill, Head of Research at CoinShares, highlighted that BlackRock's iShares now manages $22.0 billion in digital assets, surpassing Grayscale's $20.7 billion. This achievement underscores BlackRock's strategic positioning and effective fund management in the highly competitive digital asset market.

The trend extends beyond Bitcoin, with Ethereum ETFs also showing noteworthy performance. Ethereum ETFs recorded a $10.8 million inflow on the same day. BlackRock's ETHA fund led the pack with an inflow of $16.1 million, while Grayscale's ETHE saw reduced outflows amounting to $16.9 million, lowering its total outflows to $366.3 million. These metrics demonstrate BlackRock's dominance in the digital asset ETF space, catering to both Bitcoin and Ethereum investors.