BlackRock Bitcoin fund assets approach $48 billion

BlackRock’s spot Bitcoin exchange-traded fund held about 733,500 tokens valued at more than $47.5 billion on July 15, cementing its position as the dominant regulated Bitcoin investment product in the United States.

The latest official portfolio data differs slightly from a widely circulated social media claim that the iShares Bitcoin Trust held 734,762 Bitcoin worth $47.1 billion. Holdings change each trading day as authorised participants create or redeem fund shares, while the dollar valuation moves continuously with Bitcoin’s market price.

The trust, known by its Nasdaq ticker IBIT, reported net assets of $47.57 billion at the close of trading on July 15. Its benchmark valued Bitcoin at about $64,862, while the fund’s net asset value stood at $36.74 per share. It had 1.295 billion shares outstanding and recorded daily trading volume exceeding 34 million shares.

IBIT’s Bitcoin balance has fluctuated sharply during 2026. It held more than 820,000 tokens in early May before redemptions and weaker cryptocurrency prices reduced the position. The balance fell below 730,000 at the start of July, then recovered above 734,000 before declining again to roughly 733,500.

The movement illustrates how exchange-traded fund holdings are determined by investor demand rather than direct purchasing decisions made for BlackRock’s corporate treasury. The Bitcoin is held by the trust on behalf of its shareholders. BlackRock manages and promotes the product through its iShares business and receives a sponsor fee of 0.25 per cent.

That distinction is important because claims that “BlackRock owns” the entire Bitcoin balance can give a misleading impression. Investors buy shares representing an interest in the trust’s assets, while authorised financial institutions deliver or receive Bitcoin through the creation and redemption process. BlackRock does not treat the holdings as unrestricted company reserves.

Even after the decline from its May peak, IBIT controls roughly 3.5 per cent of Bitcoin’s maximum programmed supply of 21 million tokens. Its scale makes it one of the largest identifiable pools of the cryptocurrency and gives institutional fund flows a growing role in Bitcoin market liquidity.

The product was launched in January 2024 after US regulators approved a group of spot Bitcoin exchange-traded products. The decision allowed brokerage customers to gain price exposure without opening cryptocurrency exchange accounts, managing digital wallets or safeguarding private keys.

IBIT quickly overtook older cryptocurrency funds by combining BlackRock’s distribution network with relatively low fees and heavy trading liquidity. Its expansion also demonstrated the concentration of investor demand among products operated by the largest asset managers. BlackRock and Fidelity have captured a substantial share of the US spot Bitcoin fund market, while smaller issuers face pressure from narrower trading volumes and higher operating costs.

The fund’s rise has brought Bitcoin deeper into conventional financial markets. Wealth managers, hedge funds, investment advisers and some institutional portfolios can now obtain exposure using an instrument traded through established securities infrastructure. Options linked to IBIT have also created additional avenues for hedging and leveraged strategies.

However, the trust remains directly exposed to Bitcoin’s volatility. IBIT’s net asset value was down nearly 26 per cent for the year by July 15, reflecting the cryptocurrency’s fall from higher levels. The fund’s shares can also trade above or below the value of their underlying Bitcoin, although active arbitrage usually keeps those differences narrow.

Investors do not receive the same protections associated with conventional mutual funds registered under the Investment Company Act of 1940. The trust is structured as a commodity-based product, and its shares are not bank deposits or government-insured investments.

Custody concentration is another concern across the spot cryptocurrency fund industry. Large quantities of Bitcoin are stored through specialised institutional custodians, creating operational and cybersecurity risks despite extensive safeguards. A security breach, network disruption or failure involving critical service providers could affect fund operations and investor confidence.

Arabian Post – Crypto News Network