Bitcoin, the leading cryptocurrency, has remained weak in recent days, trading around the $74,000 level. That weakness has coincided with outflows from spot ETFs, and BlackRock, one of the world’s largest asset managers, has made a notable statement.

Robbie Mitchnick, BlackRock’s head of digital assets, said that large investors in the Bitcoin market are changing how they hold their assets.

A $3.6 Billion Shift Among Bitcoin Whales!

Speaking to Barron’s, Mitchnick said investor demand to convert Bitcoin held directly into shares of BlackRock’s spot Bitcoin ETF, the iShares Bitcoin Trust (IBIT), has reached record levels.

Mitchnick said approximately $3.6 billion worth of Bitcoin has been converted into IBIT shares since regulators approved the creation and redemption of in-kind shares for BlackRock’s spot ETF.

Mitchnick said demand for conversions has risen steadily regardless of Bitcoin price fluctuations, and interest is now at an all-time high. The reported amount may be less than the actual total because BlackRock does not process all transactions directly.

According to Mitchnick, the main reason investors are converting to IBIT is security and the desire to hold their assets in a safer environment. Investors are choosing institutional custody services over wallets or online cryptocurrency platforms where they manage their own private keys.

This approach lets investors transfer Bitcoin to the fund without selling it and receive ETF shares in return, allowing them to manage their assets through traditional investment accounts.

BlackRock also recently lowered the minimum transaction threshold for in-kind ETF share conversions from approximately $30 million to around $1 million-$2 million.

*This is not investment advice.

Source: en.bitcoinsistemi.com. Adapted by NBTC.