Bitcoin exchange-traded funds recorded $695M in net inflows on Jan. 5, the largest single-day total in three months. BlackRock's iShares Bitcoin Trust attracted $371.9M, while Fidelity's FBTC brought in $191.2M.
What Happened: Record ETF Inflows
Bitcoin ETFs pulled in $694.67M on Jan. 5, with participation spread across nearly all major issuers, according to SoSoValue data.
Bitwise's BITB added $38.5M, Ark's ARKB contributed $36M, and Invesco, Franklin Templeton, Valkyrie, and VanEck all posted positive flows.
Grayscale's legacy GBTC recorded zero outflows for the day.
The fund has seen more than $25B in cumulative withdrawals since its conversion to a trust structure.
Ethereum also saw significant institutional demand, with spot ETH ETF inflows reaching $168.13M on Friday. Whale Insider reported that BlackRock clients purchased 31,737 ETH worth approximately $100.2M.
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Why It Matters: Infrastructure Shift
BlackRock released an investment outlook on Jan. 5 that reframes cryptocurrency as financial infrastructure rather than speculative assets. The firm argues that digital assets now serve as settlements, liquidity rails, and tokenization platforms within the global financial system.
The asset manager highlighted stablecoins as a bridge between traditional finance and digital liquidity, noting that dollar-backed stablecoins could displace local currencies in some jurisdictions.
BlackRock warned this trend places pressure on banks as deposits migrate toward crypto-native products.
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