Three months after the Spot Bitcoin ETF began trading, BlackRock's fund is on pace to dethrone Grayscale's fund as the largest crypto-based investment vehicle on offer. It seems to be progressing.
As of Tuesday, BlackRock's IBIT fund had $18.2 billion in assets under management, compared to Grayscale's $23.2 billion in assets, according to Trackinsight data compiled by The Block Data Dashboard.
Grayscale's GBTC fund, which has higher fees than BlackRock, has consistently shed capital since it began trading, and BlackRock's ETF has gradually closed the gap in terms of assets under management (AUM). Grayscale's funds had about $23.4 billion in assets under management two months ago, compared to BlackRock's $4.4 billion in assets, according to the Block Data Dashboard.
Grayscale's ETFs started with nearly $30 billion in total assets under management, as the company's exchange-traded funds were converted from its flagship fund. Eric Balchunas, senior ETF analyst at Bloomberg, said the decline in the fund's assets under management was likely due in part to Genesis selling its GBTC stake.
In terms of trading volume, Grayscale's funds have also gradually lost market share, dropping from about 50% when the Spot Bitcoin ETF was launched on January 11 to 23.5% as of Tuesday.
Grayscale's fund shed $154.9 million in outflows on Tuesday, while BlackRock's fund had inflows of $128.7 million.
Fidelity's Spot Bitcoin ETF ranks third in volume market share and assets under management.
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