Bitcoin ETFs Gaining Rapid Adoption Among Investment Advisors

Matt Hougan, CIO of Bitwise, claims that Bitcoin (BTC) exchange-traded funds (ETFs) are being adopted by investment advisors more rapidly than any other ETFs in history.

This response counters macro strategist Jim Bianco’s assertion that the adoption rate is “small.” Hougan argues that Bianco’s perspective is incorrect, pointing out that the BlackRock Bitcoin ETF (IBIT) alone has seen $1.45 billion in net inflows from investment advisors.

While this is a fraction of the total $46 billion invested in Bitcoin ETFs, Hougan asserts that the rapid adoption by advisors is significant compared to other ETFs.

Hougan further explains that while the total inflow into Bitcoin ETFs includes contributions from a broad range of investors, the speed at which investment advisors are incorporating these ETFs into their portfolios is unprecedented.

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He highlights that the historic nature of this adoption reflects a growing confidence among advisors in Bitcoin’s long-term potential.

Bloomberg ETF analyst Eric Balchunas supports Hougan’s view, noting that IBIT’s advisor allocations, totaling $1.5 billion, represent a substantial organic inflow compared to other ETFs launched this year.

Balchunas emphasizes that this level of advisor commitment underscores the significant interest in Bitcoin ETFs, despite their comparatively small proportion of the overall market.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.