Bitcoin ETPs Hold 1.47 Million Coins, 7% of Total Supply

Bitcoin ETPs now hold 1.47 million BTC, 7% of the cryptocurrency's maximum 21 million coin supply. US-based ETFs hold the largest share, with BlackRock's iShares Bitcoin Trust ETF holding the most at 746,810 BTC. However, demand for Bitcoin ETPs is slowing down, with a net outflow of $301 million in August, while Ethereum funds attracted inflows of $3.95 billion.

Bitcoin ETFs have become a significant player in the cryptocurrency market, with a notable shift in institutional investment trends. As of July 2025, Bitcoin ETFs collectively hold 1.47 million BTC, representing 7% of the cryptocurrency's maximum supply of 21 million coins. This substantial holding underscores the growing acceptance of Bitcoin as a mainstream asset class.

Among the Bitcoin ETFs, US-based funds dominate the market. BlackRock's iShares Bitcoin Trust ETF, for instance, holds the largest share, with 746,810 BTC. However, recent data indicates a slowdown in demand for Bitcoin ETFs, with a net outflow of $301 million in August 2025. In contrast, Ethereum funds saw significant inflows, attracting $3.95 billion during the same period.

This shift in demand can be attributed to several factors. First, the regulatory environment for Bitcoin has become more favorable. The SEC's approval of spot Bitcoin ETFs and the BITCOIN Act of 2025 have legitimized Bitcoin as a reserve asset, making it more accessible to institutional investors [1]. Additionally, macroeconomic trends have favored Bitcoin. With annualized volatility dropping 75% from historical levels by mid-2025, institutional investors view Bitcoin as a diversification tool against fiat devaluation [4].

However, the market's concentration in Bitcoin ETFs raises concerns about liquidity. By Q2 2025, the top five holders controlled 771,551 BTC, potentially stifling liquidity for smaller investors [2]. Nevertheless, the broader trend of Bitcoin's integration into institutional portfolios suggests these risks are outweighed by the asset's growing legitimacy.

The launch of AMBTS by Amsterdam-based digital asset firm Amdax further exemplifies the institutionalization of Bitcoin. AMBTS aims to secure one percent of the global Bitcoin supply, targeting €30M in funding by September 2025. This ambitious plan underscores the growing need for Bitcoin investment options in Europe and the company's trust in Bitcoin's long-term potential [3].

In conclusion, while the demand for Bitcoin ETFs has slowed, the overall trend of institutional adoption remains robust. The shift in demand reflects a maturing market where Bitcoin is increasingly viewed as a strategic asset. For investors, this evolution signals an opportunity to allocate capital to an asset class that is no longer defined by retail speculation but by institutional discipline.

References:
[1] https://www.ainvest.com/news/institutional-bitcoin-buying-catalyst-long-term-price-stability-mainstream-adoption-2509/
[2] https://www.livebitcoinnews.com/amdax-launches-ambts-with-goal-to-secure-1-of-global-bitcoin-supply/
[3] https://www.livebitcoinnews.com/amdax-launches-ambts-with-goal-to-secure-1-of-global-bitcoin-supply/
[4] https://pinnacledigest.com/blog/institutional-bitcoin-investment-2025-sentiment-trends-market-impact