BlackRock has surpassed MicroStrategy in terms of bitcoins in accounts

BlackRock’s IBIT spot bitcoin fund has accumulated almost 198 000 coins under management

11.03.2024 - 11:20

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3 min

What’s new? Nearly two months after the launch of spot bitcoin exchange-traded funds (ETFs) in the United States, the IBIT fund from investment company BlackRock has accumulated 197 943 BTC under management worth more than $14 billion, analysts at BitMEX exchange reported on March 8. In turn, analytics software developer MicroStrategy, which is the largest holder of bitcoin among publicly traded companies, has 193 000 coins in its accounts.

Source: Twitter.com

What else is known? Trading in shares of ten spot BTC ETFs began in the United States on January 11. At the time of writing, cumulative inflows into the products totaled $9,59 billion.

Except for Grayscale’s GBTC fund, which is not new and operated as a trust with no shares’ redemption option until January, the nine new ETFs have accumulated $28 billion worth of bitcoins under management. As institutional demand continues to drive the cryptocurrenc’s growth, its exchange rate surpassed the $70 000 mark for the first time in history on March 8. By the time of writing, it had risen to $71 602.

Daily trading volume for ten spot BTC ETFs hit a record above $10 billion

This may indicate the traders’ desire to fix profits on the background of the growth of the asset rate

MicroStrategy is not an issuer of BTC ETF, but it has been investing in the asset since August 2020. On February 26, it bought bitcoins again, bringing its total investment to $6,09 billion, with an average purchase price of $31 544 per coin. Given the current bitcoin exchange rate, the company’s unrealized gains exceed $7,7 billion.

In addition, MicroStrategy intends to issue $600 million in convertible senior notes to increase its bitcoin investment.