BlackRock’s iShares Bitcoin Trust (IBIT) has reached an impressive milestone, surpassing $10 billion in assets under management (AUM) in just over seven weeks since its launch. This achievement contrasts sharply with the time it took for the first U.S. gold-backed ETF to reach the same milestone.
As of March 1, BlackRock’s Bitcoin ETF achieved $10 billion in AUM, achieving this feat in approximately 39 trading days since its launch. In contrast, the first gold ETF in the United States, SPDR Gold Shares (GLD), took over two years to reach the $10 billion mark after its launch in 2004.
Recent days have seen record inflows into spot Bitcoin ETFs, with Feb. 26, 27, and 28 each exceeding $500 billion for the new nine ETFs. Reflexivity Research co-founder Will Clemente noted the significant disparity in inflows between Bitcoin and gold ETFs, emphasizing Bitcoin’s dominance in this regard.
Retired venture capitalist Jeff Kirdeikis highlighted a chart illustrating the inflows of Bitcoin ETFs compared to the outflows of gold funds, suggesting that Bitcoin products have already amassed nearly half the value of gold funds since their launch in January.
Despite the success of Bitcoin ETFs, gold advocate Peter Schiff remained unconvinced, criticizing CNBC for focusing on Bitcoin at the expense of gold. He highlighted the rise in gold prices, suggesting that Bitcoin’s popularity overshadowed gold’s performance in media coverage.
While spot gold prices have returned to near-peak levels, experiencing only a modest 1% gain since the beginning of the year, Bitcoin prices have surged by 50% over the same period. Bloomberg ETF analyst Eric Balchunas commented on Bitcoin’s ascendancy over gold, suggesting that Bitcoin ETFs could surpass gold ETFs in AUM in less than two years.
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