- Fidelity’s Spot Bitcoin ETF now holds over $10 billion worth of BTC, surpassing 150,000 BTC in just three months after gaining SEC approval.
- The collective group of approved Spot Bitcoin ETFs, dubbed the “Newborn Nine,” now manages more than 520,000 BTC in total assets under management.
- The success of these Spot Bitcoin ETFs, with BlackRock’s IBIT leading with $18.5 billion in AUM, highlights the growing mainstream interest in the digital asset market, further fueled by the upcoming Bitcoin Halving Event on April 19th.
The Fidelity Spot Bitcoin exchange-traded fund (ETF) has seen immense success since its launch earlier this year. Within just three months, the fund’s bitcoin holdings have surpassed $10 billion.
Rapid Growth for Fidelity’s Bitcoin ETF
The Fidelity Spot Bitcoin ETF received approval from the U.S. Securities and Exchange Commission (SEC) in January 2024 along with eight other spot bitcoin ETFs. Collectively, these ETFs have become known as the “Newborn Nine.”
Despite only launching at the start of the year, Fidelity’s bitcoin ETF has already accumulated over 150,000 BTC, equal to over $10 billion at current prices. This rapid growth highlights the strong demand from investors for access to bitcoin through regulated investment vehicles.
Bitcoin ETFs Gain Traction in 2024
The launch of spot bitcoin ETFs in early 2024 has proven to be a major catalyst for increasing mainstream adoption of digital assets. As a regulated product, spot bitcoin ETFs allow both institutional and retail investors to gain exposure to bitcoin without having to directly hold the asset.
Across all nine of the approved spot bitcoin ETFs, total bitcoin holdings have surpassed 520,000 BTC, representing over $35 billion in assets under management. Leading asset manager BlackRock has the largest bitcoin treasury of all the ETF providers, with over 250,000 BTC held in its spot bitcoin ETF.
Impact of the Upcoming Bitcoin Halving
The growth of spot bitcoin ETFs comes at an opportune time, with the next bitcoin halving event scheduled to take place on April 19th, 2024. The halving will reduce the bitcoin issuance rate by 50%, putting deflationary pressure on the BTC supply.
With spot bitcoin ETFs now holding over 4% of the total bitcoin supply, the halving is likely to increase the value of their BTC treasuries substantially. As investor demand for bitcoin continues to accelerate, spot bitcoin ETFs have firmly established themselves as the preferred vehicles for institutional exposure to digital assets.
