BlackRock Boosts Bitcoin ETF Holdings by 25%

BlackRock’s in-house portfolio has significantly increased its holdings in the iShares Bitcoin Trust (IBIT) ETF, reflecting the asset manager’s growing confidence in cryptocurrency as part of its broader diversification strategy. As of March 31, 2025, the BlackRock Strategic Income Opportunities Portfolio held 2,123,592 shares of IBIT, valued at $99.4 million. This represents a 25% increase from the 1,691,143 shares held at the end of 2024. The portfolio’s strategy is primarily bond-focused but also seeks diversified exposure to other markets to boost total returns while preserving capital.

The IBIT ETF, one of 11 spot Bitcoin ETFs approved by the US Securities and Exchange Commission in January 2024, has emerged as the largest fund in its category with over $72 billion in net assets. This positions IBIT ahead of the second-largest US Bitcoin ETF, the Fidelity Wise Origin Fund, which trails by $50 billion in net assets.

The increase in IBIT holdings by BlackRock’s in-house portfolio underscores the growing institutional interest in Bitcoin ETFs. This trend is driven by the consistent inflows into Bitcoin ETFs, with IBIT leading the growth since April 9, 2025. The net inflows indicate that asset managers are actively buying shares to meet the rising demand from investors. The early success of gold ETFs serves as a benchmark, with projections suggesting that Bitcoin fund inflows could reach $120 billion this year and more than double to $300 billion by 2026.

The demand for Bitcoin ETFs is not limited to retail and institutional investors; it also extends to wealth management platforms and wirehouses of major institutions. This untapped market represents a significant opportunity for further growth in Bitcoin ETF investments. The consistent inflows into IBIT and other Bitcoin ETFs highlight the increasing acceptance and integration of cryptocurrency into mainstream investment strategies.