Bitcoin News Today: BlackRock Bitcoin ETF Surpasses $86 Billion as Harvard Adds $116.6 Million

BlackRock’s iShares Bitcoin Trust (IBIT) continues to attract massive capital inflows, reinforcing its position as one of the most successful investment products in the U.S. market. Since its launch, the ETF has amassed over $86 billion in assets under management, making it the fastest-growing ETF in history. This rapid accumulation has closely mirrored Bitcoin’s price trajectory, especially as the cryptocurrency approached and surpassed $120,000 in July 2025 [2].

A key driver of this success is the regulatory environment. The U.S. Securities and Exchange Commission’s (SEC) approval of spot Bitcoin ETFs in January 2024 marked a turning point, bringing institutional legitimacy to the asset class. By July 2025, the SEC had also introduced in-kind creation and redemption mechanisms for Bitcoin and Ethereum ETFs, improving efficiency, reducing tracking errors, and narrowing bid-ask spreads. These structural improvements have brought the ETF experience closer to that of traditional commodity funds, boosting accessibility and liquidity [6].

Institutional demand has been a major catalyst. Harvard University, for example, disclosed a $116.6 million investment into BlackRock’s IBIT, signaling growing confidence in Bitcoin and marking a shift in how major endowments are diversifying their portfolios. Harvard’s Bitcoin allocation now exceeds its stake in the SPDR Gold Trust, a notable shift in asset preference [1]. Such allocations highlight the increasing legitimacy of Bitcoin within traditional finance and indicate a broader willingness among institutional investors to treat the cryptocurrency as part of a long-term portfolio strategy [5].

BlackRock’s IBIT also stands out for its security and ease of access. Unlike traditional crypto ownership, which requires navigating digital wallets and private keys, IBIT trades on the Nasdaq under a simple ticker symbol, just like any stock. Investors can buy and sell shares through standard brokerage accounts, integrating Bitcoin exposure into their portfolios without the technical complexities of direct ownership. Additionally, the fund’s Bitcoin holdings are stored in cold storage by Coinbase Custody Trust Company, offering institutional-grade security and reducing the risk of cyberattacks [4].

The fund’s liquidity is another critical factor. With an average daily trading volume of over 45 million shares, IBIT enables investors to enter or exit positions efficiently, even at large sizes, without significantly impacting the share price. This liquidity ensures that the ETF’s price remains closely aligned with Bitcoin’s real-time value, avoiding the premiums and discounts that can occur with less liquid funds [4].

BlackRock has also been strategic in its approach to digital assets. While the firm has not expanded into other tokens such as XRP, it has maintained a focus on Bitcoin, citing strong client demand and regulatory clarity as key factors. This approach reflects a calculated strategy to capitalize on assets that are both widely accepted and institutionally supported [7].

The continued inflows into BlackRock’s Bitcoin ETF highlight a broader trend in the financial markets: the increasing integration of digital assets into mainstream investment portfolios. With over 1.86 million Bitcoin held by institutional investors in 2025, the role of Bitcoin ETFs in bridging traditional finance and the digital asset market has become increasingly significant [8]. As more institutions allocate capital to Bitcoin ETFs, the trend suggests a growing acceptance of digital assets as a core component of diversified investment strategies.

Source:

[1] Harvard Discloses $116 Million Investment In BlackRock's ... (https://zycrypto.com/harvard-discloses-116-million-investment-in-blackrocks-ishares-bitcoin-etf/)

[2] BlackRock's Bitcoin ETF becomes fastest-ever ... (https://www.aol.com/finance/blackrock-bitcoin-etf-becomes-fastest-192152850.html)

[4] Institutional Bitcoin Holdings Surge 48.8% to 1.86M BTC ... (https://www.ainvest.com/news/bitcoin-news-today-institutional-bitcoin-holdings-surge-48-8-1-86m-btc-etf-growth-regulatory-clarity-2508/)

[5] Harvard's Bitcoin Bet Surpasses Gold in Latest Portfolio Shift (https://cryptodnes.bg/en/harvards-bitcoin-bet-surpasses-gold-in-latest-portfolio-shift/)

[6] Why $5.4 billion in July inflows could fuel Ethereum's ... (https://cryptoslate.com/why-5-4-billion-in-july-inflows-could-fuel-ethereums-biggest-rally-yet-toward-6k/)

[7] Why BlackRock Is Holding Off on a Spot XRP ETF (https://www.fingerlakes1.com/2025/08/10/xrp-blackrock-etf-context-56745234/)

[8] Bitcoin's Path to Reserve Currency Status: Hurdles and ... (https://www.ainvest.com/news/bitcoin-path-reserve-currency-status-hurdles-opportunities-decentralized-world-2508/)