Originally published on: December 16, 2024
In a surprising turn of events, the Grayscale Bitcoin Trust (GBTC) has seen a massive withdrawal of more than $21 billion since its inception on Jan. 11. This makes GBTC the only spot Bitcoin exchange-traded fund (ETF) in the US with a negative net investment flow.
As of Dec. 16, GBTC’s total outflows have reached $21.045 billion, with the trust losing millions of dollars in investments on a daily basis. Data from Farside Investors shows that GBTC has been shedding an average of $89.9 million per day over the past 11 months.
On the flip side, the other 10 approved spot Bitcoin ETFs in the US have maintained positive balance sheets. Combined, these funds have attracted $20.737 billion in investments, overshadowing GBTC’s outflows.
One standout performer is BlackRock’s iShares Bitcoin Trust (IBIT), which has seen total inflows of $35.883 billion since inception, with daily investments of $153.3 million.
Despite the significant outflows from GBTC, the total spot Bitcoin ETF market has seen substantial growth, surpassing $35.5 billion in investments within a year.
The trend seems to mirror the performance of Grayscale’s Ethereum Trust ETF (ETHE), which, along with eight other spot Ether (ETH) ETFs in the US, has experienced similar outflows. ETHE has lost over $3.5 billion in under six months since its launch on July 23.
However, other funds in the spot ETH ETF ecosystem have seen positive inflows, with BlackRock’s iShares Ethereum Trust ETF (ETHA) and Fidelity Ethereum Fund (FETH) leading the pack with investments totaling nearly $3.2 billion and $1.4 billion, respectively.
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