Happy first birthday, bitcoin spot ETFs

It’s been one year since the SEC approved the first spot bitcoin ETFs, which many saw as a landmark decision for the crypto industry. These ETFs now have $109 billion in assets under management and hold about 6% of the total bitcoin supply. Even before they hit the one-year mark, bitcoin ETFs “flipped” gold ETFs in assets under management on December 17, according to K33 Research.

The approval contributed to boosting the asset’s value: bitcoin was trading at around $46,000 on January 10, 2024, and as of writing, is hovering at $94,000, after crossing the $100,000 mark for the first time on December 4 and again on January 6.  

The most successful bitcoin ETF is BlackRock’s iShares Bitcoin Trust, with almost $53 billion in assets under management. As Bloomberg put it: “Simply put, no ETF has ever had a better debut.”

After BlackRock’s bitcoin ETF, the other funds rounding up the top five are: 

• Fidelity Wise Origin Bitcoin Fund: $19.6 billion in assets

• Grayscale Bitcoin Trust ETF: $19.2 billion in assets

• ARK 21Shares Bitcoin ETF: $4.5 billion in assets

• Bitwise Bitcoin ETF: $4.2 billion in assets

Following the approval of bitcoin ETFs, spot ethereum ETFs were next to get the nod and began trading in July 2024. They now have $10.1 billion in assets, according to BlockWorks. 

With the incoming crypto-friendly Trump administration, bulls are optimistic about a slew of altcoin ETF approvals this year. A solana ETF might materialize soon, as VanEck and 21Shares have each filed applications for these products. Ripple President Monica Long also recently told Bloomberg that an XRP ETF could happen soon.

Yaël Bizouati-Kennedy is a financial journalist who’s written for Dow Jones, The Financial Times Group, and Business Insider, among others.