BlackRock’s iShares Bitcoin ETF Surpasses 700,000 BTC: The Most Successful ETF Ever

Published: July 8, 2025 | By: NRI Global Team

BlackRock’s iShares Bitcoin Trust (IBIT) has achieved an unprecedented milestone, surpassing 700,000 Bitcoin (BTC) in holdings, cementing its position as the most successful exchange-traded fund (ETF) in history. Launched in January 2024, IBIT has rapidly accumulated over $75.5 billion in assets under management (AUM), dominating the U.S. spot Bitcoin ETF market with a 55% share. This article explores the remarkable success of IBIT, its impact on the cryptocurrency market, and why it’s a game-changer for investors worldwide, including Non-Resident Indians (NRIs) looking to diversify their portfolios.

A Record-Breaking ETF: BlackRock’s IBIT Hits 700,000 BTC

According to recent data from Glassnode and Bitbo, BlackRock’s IBIT now holds 700,307 BTC, valued at approximately $75.5 billion as of July 8, 2025. This milestone was reached just 18 months after the ETF’s debut, outpacing all other ETFs in terms of growth and revenue generation. Nate Geraci, president of NovaDius Wealth Management, commented on X, “New milestone… iShares Bitcoin ETF now holds over 700,000 BTC. Did this in 18 months. Ridiculous.”

IBIT’s rapid ascent is driven by its ability to attract significant institutional and retail investment, with net inflows exceeding $52.9 billion since its launch. The ETF’s performance is equally impressive, delivering an 82.67% return in just six months, outperforming BlackRock’s flagship iShares Core S&P 500 ETF (IVV).

Key Highlights of IBIT’s Success:

• Market Dominance: IBIT controls 56% of the 1.25 million BTC held by U.S. spot Bitcoin ETFs, surpassing competitors like Fidelity’s FBTC (203,000 BTC) and Grayscale’s GBTC (184,000 BTC).
• Revenue Generation: With a 0.25% expense ratio, IBIT generates an estimated $191 million annually, making it BlackRock’s third-highest revenue-generating ETF among its 1,197 funds.
• Institutional Appeal: The ETF’s assets are securely custodied by Coinbase Prime, offering large investors exposure to Bitcoin without the complexities of managing private keys.

Why IBIT Is a Game-Changer for Investors

BlackRock’s IBIT has redefined the ETF landscape by bridging traditional finance and cryptocurrency. Its success highlights the growing institutional adoption of Bitcoin, with major players like BlackRock, MicroStrategy, and others purchasing $28.22 billion worth of BTC in 2025 alone—far outpacing the $7.85 billion emitted by miners.

For investors, IBIT offers several advantages:

1. Regulated Exposure: IBIT provides a secure, regulated way to invest in Bitcoin, eliminating the need for managing crypto wallets or navigating unregulated exchanges.
2. Liquidity and Accessibility: The ETF benefits from deep market liquidity and real-time price tracking, making it an attractive option for portfolio managers.
3. High Returns: With an 82.67% return since launch, IBIT has outperformed traditional equity ETFs, appealing to investors seeking high-growth opportunities.
4. Passive Income Potential: Some Bitcoin ETFs, including IBIT, are exploring integrated staking features, positioning Bitcoin as a source of passive income.

Why NRIs Should Consider IBIT

For Non-Resident Indians (NRIs) seeking to diversify their investment portfolios, IBIT presents a unique opportunity. As Bitcoin gains legitimacy in global markets, NRIs can leverage IBIT to:

• Hedge Against Currency Devaluation: With the U.S. dollar and other fiat currencies facing inflationary pressures, Bitcoin is increasingly viewed as a store of value, akin to digital gold.
• Access Global Markets: NRIs can invest in IBIT through U.S.-based brokerage accounts, gaining exposure to one of the fastest-growing asset classes without the hassle of direct crypto ownership.
• Capitalize on Institutional Trends: BlackRock’s dominance in the Bitcoin ETF market signals strong institutional confidence, making IBIT a reliable choice for long-term investment.

The Broader Impact on the Cryptocurrency Market

IBIT’s success has far-reaching implications for the cryptocurrency ecosystem. By holding 3.3% of Bitcoin’s total supply, BlackRock has become a major player, surpassing corporate holders like MicroStrategy and most long-term miner treasuries. This institutional accumulation is reducing Bitcoin’s available supply, potentially increasing price sensitivity to ETF inflows and supporting market stability.

Despite Bitcoin’s price struggling to break $110,000, IBIT’s consistent buying through market dips demonstrates unwavering institutional demand. On July 7, 2025, IBIT purchased 1,388 BTC worth $164.3 million, with trading volume spiking to $2.3 billion. Analysts predict that if inflows continue, IBIT could hold 10% of Bitcoin’s supply (approximately 2.1 million BTC) by 2028.

Expert Insights

• Thomas Fahrer, co-founder of Apollo, stated, “BlackRock now holds 700,000 BTC,” emphasizing the ETF’s dominance.
• Eric Balchunas, senior Bloomberg ETF analyst, noted IBIT’s rapid rise to BlackRock’s third-highest revenue-generating ETF, underscoring its significance within the firm’s portfolio.
• Michael Saylor, chairman of MicroStrategy, predicted that IBIT could become BlackRock’s top revenue-generating ETF, reflecting its transformative potential.

How to Invest in BlackRock’s iShares Bitcoin ETF

For NRIs and global investors interested in IBIT, here’s how to get started:

1. Open a U.S. Brokerage Account: Platforms like Interactive Brokers, Charles Schwab, or Fidelity allow NRIs to invest in U.S.-listed ETFs.
2. Research IBIT: Review IBIT’s performance, fees (0.25% expense ratio), and holdings on BlackRock’s official website or ETFdb.com.
3. Consult a Financial Advisor: Ensure IBIT aligns with your risk tolerance and investment goals, especially given Bitcoin’s volatility.
4. Monitor Market Trends: Stay informed about Bitcoin’s price movements and ETF inflows through trusted sources like CoinDesk or Bloomberg.

The Future of Bitcoin ETFs

BlackRock’s IBIT is paving the way for broader cryptocurrency adoption in traditional finance. With European banks like UniCredit offering IBIT-linked products and other institutions like Fidelity and VanEck expanding their crypto ETF offerings, the market is poised for further growth.

As Bitcoin transitions into a mainstream asset class, IBIT’s success underscores its role as a structural pillar supporting BTC’s price and market stability. For NRIs and global investors, IBIT offers a compelling opportunity to participate in this financial revolution while benefiting from BlackRock’s expertise and infrastructure.

Conclusion

BlackRock’s iShares Bitcoin ETF (IBIT) has redefined the ETF landscape by surpassing 700,000 BTC in holdings and becoming the most successful ETF ever. With over $75.5 billion in AUM, a stellar 82.67% return, and unmatched institutional backing, IBIT is a must-consider for investors seeking exposure to Bitcoin. For NRIs, IBIT provides a secure, regulated, and high-growth investment vehicle to diversify portfolios and hedge against economic uncertainties.

Stay ahead of the curve with NRI Global for the latest insights on cryptocurrency, ETFs, and global investment opportunities. Visit www.nriglobal.com for more expert analysis and personalized investment strategies.

Disclaimer: Investing in Bitcoin and ETFs involves risks, including potential loss of capital. Consult a financial advisor before making investment decisions. All data is sourced from publicly available information as of July 8, 2025.

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