Spot Bitcoin ETFs Control 3.3% of Total BTC Supply: A Deep Dive

• Spot Bitcoin ETFs in the US Now Control 3.3% of Current BTC Supply
• Spot Bitcoin ETFs Hold More Than 3% of Total Bitcoin
• Spot Bitcoin ETFs Represent 3.3% of Entire Bitcoin Supply After Less Than a Month

Spot Bitcoin ETFs in the US Now Control 3.3% of Current BTC Supply

In a striking demonstration of the influence of newly approved investment instruments, Spot Bitcoin$42,260 -0.64% ETFs in the US now command 3.3% of the present supply of BTC. This represents a significant change in Bitcoin's dynamics. Despite being less than a month old, these products have indicated a rising interest in Bitcoin investment among institutions. Furthermore, these investment products concluded the month of January with $197 million net inflows into Spot Bitcoin ETFs, marking the fourth day of net inflows for the product approved just 10 days into the year.

Spot Bitcoin ETFs Hold More Than 3% of Total Bitcoin

In the final months of 2023, the expectation for Spot Bitcoin ETFs in the US escalated to a fevered level. As the year concluded, the digital asset market received the eagerly awaited investment product. On January 10th, the US Securities and Exchange Commission (SEC) granted approval to 11 Bitcoin ETFs. While they have not yet significantly influenced the market's value as many had hoped, their success is undoubtable. Specifically, they have caused a notable shift in the rate of institutional Bitcoin investment.

Spot Bitcoin ETFs Represent 3.3% of Entire Bitcoin Supply After Less Than a Month

In less than a month of existence, Spot Bitcoin ETFs already account for 3.3% of all BTC. This is not just a testament to their success but also a clear indicator of the increasing confidence in Bitcoin as a worthwhile asset. This is particularly evident among institutional investors who have fully utilized a variety of offerings.

Swan Media data reveals that only about 10% of all Bitcoin is held by ETFs, funds, private and public companies, or governments. This implies that the remainder of all BTC is in the possession of individuals or has been lost. Overall, this suggests that the market has matured significantly, with the perception of the asset improving among asset management companies and institutions.

Edited by Jonathan Stoker