Quick Take
The seemingly imminent launch of a spot Bitcoin ETF brings the spotlight onto the digital assets market performance on its first trading day, which could be as early as Jan. 11, pending approval.
An analysis by Bloomberg ETF analyst Eric Balchunas reveals fascinating insights into the top 25 most successful ETF launches, measured by assets under management (AUM) and flow.
BlackRock’s dominance in the top 10 is notable but with a caveat – most of these ETF launches involved cash inflows directly from BlackRock. In contrast, a couple of ETFs witnessed mainly organic growth. SPDR Gold Shares registered $709 million of inflows, illustrating a robust investor interest in the precious metal back in Nov. 2004.
Furthermore, ProShares Bitcoin Strategy ETF (BITO) recorded $567 million in inflows and an unprecedented $1 billion in volume, a remarkable feat considering its approximately $20 million seed capital.
Balunchas noted that BlackRock potentially has $2 billion allocated for investment in a Bitcoin ETF in week one. To date, BlackRock has seeded its ETF with $10 million and is applying a fee of 0.2% for the first $5 billion.
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