BlackRock’s Spot Crypto ETFs Overtake Grayscale’s Assets

BlackRock, the world’s largest asset manager, is now also the largest crypto fund manager after IBIT and ETHA’s AUM surpassed Grayscale’s funds.

BlackRock’s spot bitcoin and ether exchange-traded funds (ETFs) now hold more assets than Grayscale Investments’ four crypto ETFs.

Data from Arkham shows that the iShares Bitcoin Trust ETF (IBIT) and iShares Ethereum Trust ETF (ETHA) now hold a collective $21.2 billion in assets under management (AUM). 

Meanwhile, the Grayscale Bitcoin Trust (GBTC), Grayscale Ethereum Trust (ETH), and Grayscale Bitcoin Mini Trust (BTC), and Grayscale Ethereum Mini Trust (ETH) together hold $21.2 billion in AUM.

“Blackrock ETFs now have the largest collective holdings of any provider,” said Arkham.

Arkham noted that Grayscale as an entity still holds more crypto assets onchain than BlackRock, mainly due to the Grayscale Digital Large Cap (GDLC) fund, which holds around $460 million in AUM and is not an ETF.

BlackRock’s Bitcoin ETF in particular seems to be the crypto fund of choice for institutional investors, with Morgan Stanley and Goldman Sachs recently disclosing high value positions. 

Morgan Stanley disclosed ownership of 5.5 million shares in IBIT, worth a little over $187 million, making the firm one of the top five holders of the fund. 

Goldman Sachs disclosed holding $418 million in spot bitcoin ETFs, of which $238.6 million was held in IBIT — its largest position by a fair margin.

Nate Geraci, president of The ETF Store,  noted on X that BlackRock’s IBIT had exactly one day of negative inflows since it began trading in January, dubbing it the “top launch of 2024.”