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ProShares Bitcoin ETF Hits $1B AUM in Record-breaking Two Days

ProShares Bitcoin ETF  has topped $1 billion in assets in just two days, breaking an 18-year-old record for the fastest fund to a billion-dollar asset under management (AUM). ProShares Bitcoin Strategy ETF started trading this week after weeks of anticipation and after just 48 hours after its launch, ProShares Bitcoin Strategy ETF, the first Bitcoin futures exchange-traded fund, under the ticker BITO, has achieved several milestones. 

According to Eric Balchunas, a senior ETF analyst at Bloomberg, the fund was the quickest ever to achieve a ten-figure AUM after just two days of trading.  “$BITO assets up to $1.1b after today, making it the fastest ETF to get to $1b (2 days) breaking $GLD’s 18yr old record (3 days), which is poetically apropos,” Balchunas wrote on his Twitter page.

The gold-based fund with the ticker GLD, the previous record holder, back in 2004, took three days to hit the billion-dollar mark after its debut.

ProShares Bitcoin ETF boom has been linked to the pent-up demand for it and has now traded over $2 billion in volume since going live yesterday with over 24 million shares traded. The ProShares ETF  fund also broke another record for the highest-ever first day of organic volume which hit $1 billion on October 19, the day it went live. 

“I’ve never seen anything like this. I bet ProShares is even shocked,” Balchunas revealed after James Seyffart, an Intelligence research analyst with Bloomberg updated the original chart.

Balchunas added that there may not be any contracts left to buy if this volume continues, citing a post by Nate Geraci, ETFStore President who revealed in a post that almost 45% of BITO exposure is now in November futures contracts. “If $BITO keeps up this pace of inflows it won’t have any futures left to buy by the end of the month due to position limits,” Balchunas stated. 

Bitcoin ETFs had been the hot topic of the crypto space for some time now as many believed it would be much safer than actually holding BTC. The notion was further strengthened when Gary Gensler, chair of the Securities and Exchange Commission (SEC) in September stated that, offerings that seek bitcoin exposure through regulated futures contracts of the CME would have a higher chance of approval, citing “investor protection” concerns.

Fast forward, the first Bitcoin futures exchange-traded fund launched with another imminent Bitcoin futures fund launch insight according to Balchunas.

“This is likely to be the Valkyrie Bitcoin Strategy ETF which is changing its ticker back to BTF in preparation,” he stated after stating earlier this week that the Valkyrie Bitcoin Strategy ETF would launch on Friday.

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ProShares Bitcoin ETF Hits $1B AUM in Record-breaking Two Days