Key Takeaways
- BlackRock explores stake in major bitcoin ETF holder Millennium.
- BlackRock's IBIT fund sees record $1.1 billion inflow this week.
- Bitcoin trading activity surged 300% amid ETF inflows.
Bitcoin’s price is nearing the $100,000 milestone, largely driven by increasing adoption from major asset managers and political shifts in the U.S.
Recent reports indicate that BlackRock, the world’s largest asset manager, is in talks to acquire a stake in the hedge fund Millennium, a prominent holder of bitcoin exchange-traded funds (ETFs).
This move aligns with BlackRock’s strategy to integrate digital assets across Wall Street.
Millennium
According to the Financial Times, Millennium held nearly $2 billion in bitcoin ETFs as of early 2024, with BlackRock’s IBIT bitcoin fund accounting for around $800 million of that amount.
On Thursday, IBIT recorded $1.1 billion in net inflows, surpassing its previous record of $900 million last month. BlackRock’s CEO, Larry Fink, recently reiterated his view of bitcoin as a new “asset class,” comparing it to traditional commodities like gold.
Volume
Market analysts have noted a sharp increase in trading volumes and user engagement.
BTC Markets CEO Caroline Bowler highlighted a 300% increase in user logins this week, explaining that inflows to ETFs could create a feedback loop, driving more capital into bitcoin and further fueling price gains.
This spike in demand reflects bitcoin’s growing appeal as a long-term investment, underscoring its potential role in mainstream financial portfolios.
