US spot bitcoin exchange-traded funds (ETFs) have surpassed $200 billion in cumulative trading volume since their launch just three months ago.
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According to data from The Block, the total volume of funds approved by the SEC surpassed the $200 billion milestone on Tuesday. This comes after spot bitcoin ETFs posted a record monthly volume of $111 billion in March, triple that of February.
The ETFs debuted on January 11 when bitcoin traded around $45,000. bitcoin has since risen to an all-time high above $73,000, driving interest and trading activity.
BlackRock's IBIT leads the volumes, which now contain more than 265,000 bitcoins worth more than $18 billion. IBIT comprises almost 50% of the total spot ETF volume. Meanwhile, Grayscale's GBTC and Fidelity's FBTC rank second and third in market share.
The success of US spot bitcoin ETFs has generated calls in other markets such as Hong Kong. Regulators are expected to approve the first spot bitcoin ETFs in Asia this month, which could add more volume.
ETF providers cite growing institutional demand for regulated exposure to bitcoin. The funds present an easy vehicle for retail and professional investors to gain exposure to the price of bitcoin.
The $200 billion cumulative volume indicates bitcoin's growing maturation since the last bull run, when ETF hopes were repeatedly dashed.
The growth of bitcoin ETFs indicates increasing adoption by traditional finance, a widespread integration that will likely persist as the asset class evolves.
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