BlackRock increases crypto exposure with $843 million in ETF purchases

BlackRock and other major financial institutions are significantly increasing their exposure to digital assets. BlackRock has purchased over $843 million in Bitcoin and Ethereum through its spot ETF funds over a 20-day period. Specifically, its iShares Bitcoin Trust (IBIT) saw substantial inflows, contributing to the firm holding approximately 782,623 BTC.

Despite mid-September volatility that saw Bitcoin prices dip below $76,000 and triggered significant ETF outflows, the market rebounded. Bitcoin recovered to trade above $81,000 as institutional demand returned. US spot Bitcoin ETFs recorded a net weekly inflow of approximately $6.2 million, driven by strong late-week performance from funds like Fidelity’s FBTC and BlackRock’s IBIT.

BlackRock executives noted that Bitcoin volatility has compressed from roughly 80 to a range of 35–40. This shift is attributed to increased participation from long-term holders and the rise of ETFs, which allow large holders to use Bitcoin as collateral within conventional financial frameworks. Meanwhile, products like the Grayscale Bitcoin Mini Trust continue to compete by offering low management fees and high liquidity.