BlackRock's iShares Bitcoin Trust (IBIT) has emerged as a bright spot in a difficult time for US Bitcoin exchange-traded funds (ETFs), which recorded their third straight day of net outflows on January 13.
The Bitcoin ETF market recorded a total of $284.1 million in net outflows, according to data from Farside. BlackRock's IBIT stood out with $29.5 million in inflows, contrasting with significant outflows from other ETFs.
Meanwhile, Fidelity Bitcoin ETF (FBTC) led the losses with $113.6 million in outflows, followed by ARK Bitcoin ETF (ARKB) with $92.4 million. $89 million was drained from Grayscale's GBTC, and $18.6 million was drained from Bitwise's BITB. Other Bitcoin ETFs reported no activity on the day.
Cumulative outflows across the sector over the past three business days exceeded $1 billion. This trend indicates a potential change in institutional investment strategies or an evolution in market sentiment around Bitcoin.
Notably, BTC price fell to a two-month low below $89,400 before recovering to $96,828 at the time of writing, according to CryptoSlate data.
IBIT expands into Canadian market
BlackRock is expanding into the Bitcoin ETF space with the launch of the iShares Bitcoin ETF (IBIT) in Canada. This development follows the fund's notable success in the US.
The Canadian rollout will include two versions of the ETF, according to a press release. One trades on Cboe Canada under the ticker IBIT, while the USD-denominated version is listed as IBIT.U. These ETFs provide investors with exposure to Bitcoin by tracking its performance before deducting fund-related expenses.
The iShares Bitcoin ETF invests primarily in US-traded IBIT, which holds Bitcoin as a long-term asset. This structure allows investors to access Bitcoin through traditional brokerage accounts without having to deal with custody or operational challenges.
Helen Hayes, who leads iShares Canada, emphasized that the expansion in Canada reflects BlackRock's commitment to making investing more accessible. He also noted that the launch provides a convenient and cost-effective way for Canadian investors to gain exposure to Bitcoin.
BlackRock's decision to expand IBIT follows the company's exceptional performance, ranking in the top 1% of ETFs by asset in the US. Over the past year, IBIT has been recognized as one of the most successful ETF launches of the past decade.
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