BlackRock Lowers Bitcoin-for-ETF Share Threshold to $1M, IBIT Cumulative Conversions Exceed $5B

August 25 news, according to Bloomberg, BlackRock lowered the minimum transaction size for investors to subscribe to ETF shares with physical Bitcoin from $25 million to $1 million in July this year. BlackRock's Head of Digital Assets Robbie Mitchnick stated that its spot Bitcoin ETF IBIT has completed over $5 billion in such conversions, up from the more than $3 billion disclosed in October last year. The mechanism allows investors to transfer Bitcoin into funds holding the same asset and exchange it for ETF shares through authorized participants or market makers. Bitwise's minimum threshold for handling such transactions has also been cut from an initial $100 million to $3 million. Bloomberg noted that as US regulators allowed physical subscriptions last summer, the market infrastructure for crypto assets migrating to ETFs continues to expand.