Head of BlackRock Topics and other ETFs gives investors three reasons why they should consider adopting a Bitcoin ETF in 2025 as inflows continue.
In a recent market overview report, The Black Rock Head of Other Themes and ETFs, Jay Jacobs, highlighted its rapid growth Bitcoin ETFs in the market. One of the main things he mentioned was how the adoption of crypto assets beat mobile phones and the internet in its development.
According to recently study by BlackRock, compiling data from a variety of sources including NPR, Bloomberg and the Cambridge Center for Alternative Finance, it took 21 years for mobile phone adoption to reach 300 million users. The Internet took 15 years to reach the same milestone. At the same time, it only took crypto 12 years to achieve the same number of users.
“Bitcoin's global and decentralized nature enables it to be seen as a global currency alternative that could benefit from global disorder and reduce trust in fiat currency institutions and government issues,” Jacobs said. .
He acknowledged how some investors are still having a hard time warming up to Bitcoin (BTC) as an investment fund due to its complexity, including opening crypto trading accounts, high fees and other security challenges. However, he believes that ETFs can be the gateway that traditional investors need to access Bitcoin in a much more convenient way.
“Despite the increase in bitcoin adoption, investing directly in bitcoin presents unique complexities for investors. “That's why we launched IBIT – the iShares Bitcoin ETF – to make bitcoin easier for everyone,” said a BlackRock executive.
First, BlackRock believes that the nature of Bitcoin ETFs allows investors to trade crypto-based ETFs on traditional brokerage platforms alongside other investment instruments such as bonds, common stocks and other ETFs.
Secondly, Bitcoin ETF eliminates the obstacles faced by investors who want to invest in Bitcoin without buying the digital asset directly on crypto exchanges .
“To ensure that their bitcoin is as secure as possible, investors often have to set up their own custodial arrangement outside of their crypto exchange, which can be both costly and risky,” explained Jacobs.
Finally, he explained how BlackRock and Coinbase Prime have come together in leveraging a multi-year technology integration into IBIT to ensure investors can maximize its benefits to the highest level.
“The launch of IBIT is rooted in iShares' commitment to providing access, allowing more investors to experience bitcoin through the convenience, efficiency and experience of an ETF,” said Jacobs.
As before reported by crypto.news on January 14, BlackRock's IBIT was the only Bitcoin ETF to record an inflow of $29.46 million. Meanwhile, most Bitcoin ETFs saw only outflows or reported no outflows at all.
