Bitcoin Exchange-Traded Funds (ETFs) Mark One-Year Milestone: Trading Volumes, frontrunners, and Adoption Rates

Bitcoin Exchange-Traded Funds (ETFs) Mark One-Year Milestone: Trading Volumes, frontrunners, and Adoption Rates

In the financial landscape of 2024, the introduction of U.S. spot Bitcoin Exchange-Traded Funds (ETFs) marked a significant turning point. Since their launch in early 2024, these ETFs have experienced rapid and substantial growth, becoming dominant players in the market.

Eric Turner, CEO of Bitwise, noted that fiscal policies in 2024 have driven interest in these new instruments. One of the most notable launches was BlackRock's IBIT product, which set a new record for the fastest Assets Under Management (AUM) accumulation.

The popularity of IBIT is not limited to the traditional market. According to Greg Magadini, Director of Derivatives at Amberdata, the options market also feels the impact of IBIT. Launched in November, IBIT options are among the top dozen most actively traded contracts.

Four spot Bitcoin ETFs (IBIT, FBTC, ARKB, and BITB) are among the top 20 U.S. ETF launches by total assets gathered in their first year. During the initial weeks, BlackRock, Fidelity, and Grayscale stood out by trading volume. Since their launch, 12 ETF issuers have collectively accumulated 1.13 million BTC worth $106.6 billion.

The first year for Bitcoin ETFs was massive. Four of the Bitcoin ETFs (IBIT, FBTC, ARKB, and BITB) appeared in the top 20 US ETF launches of all time, even when adjusted for inflation. It took gold-based ETFs around 20 years to hit the $130 billion mark, whereas Bitcoin-based funds did so in under a year.

Initially, Grayscale's GBTC was the market leader, but by the end of May, IBIT from BlackRock surpassed GBTC. Significant investments can take six months to two years to materialize, as pointed out by Steven McClurg, CEO of Canary Capital.

The combined trading volume of these ETFs reached $660 billion. Financial advisors are expected to boost their ETF positions in Bitcoin and Ethereum by over 50% in 2025, according to CF Benchmarks experts.

On January 11, the first U.S. spot Bitcoin exchange-traded funds (ETFs) started trading. In December, the total assets under management (AUM) across all American Bitcoin ETFs surpassed similar products based on gold. The approval of the first Bitcoin ETF granted Bitcoin a measure of "legitimacy" at a regulatory level by acknowledging it as an investable asset class.

As of mid-2025, the total AUM of U.S. spot Bitcoin ETFs had reached about $152.4 billion, representing approximately 6.5% of the total Bitcoin market capitalization. Today, IBIT holds the top spot with $52.7 billion in AUM. Fidelity's FBTC ranks second by AUM, and GBTC has slipped to third place.

This growth illustrates how U.S. spot Bitcoin ETFs have rapidly become a central component of Bitcoin investment infrastructure, fostering broader adoption and market liquidity. The rise of these ETFs underlines the increasing institutional interest in Bitcoin as a viable investment option.

Investors, such as Eric Turner, CEO of Bitwise, attribute the growth of Bitcoin ETFs in 2024 to fiscal policies that have sparked interest in these new instruments. Among these ETFs, IBIT from BlackRock, launched in early 2024, set a record for the fastest Assets Under Management (AUM) accumulation and has become a dominant player, trading alongside Bitcoin ETFs like FBTC, ARKB, and BITB, which collectively hold approximately 6.5% of the total Bitcoin market capitalization. Ethereum, too, has seen substantial growth, with financial advisors expecting to boost their ETF positions in Bitcoin and Ethereum by over 50% in 2025, indicating a continued interest in cryptocurrency finance and investing.

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