CandleFocus

Institutions absorb 8 years’ worth of Bitcoin issuance in 2024

Institutional players purchased a significant amount of Bitcoin in 2024, equivalent to eight years of BTC issuance and 4.3% of its total circulating supply, according to a report by K33 Research. The majority of these purchases were made by spot exchange-traded funds (ETFs) and public-listed companies like MicroStrategy. US-traded spot Bitcoin ETFs were a major factor in the growing demand for regulated exposure to BTC. BlackRock's spot Bitcoin ETF holds the most assets under management (AUM), with 542,653 BTC worth nearly $54 billion. The launch of spot Bitcoin ETFs broke records in terms of net inflows, surpassing gold ETFs. Public companies also contributed to Bitcoin demand, with MicroStrategy adding nearly 250,000 BTC to its treasury. Institutional interest in Bitcoin has helped make the cryptocurrency more liquid, reaching an all-time high in liquidity with 22% of the circulating supply available in markets. The growing interest in a "Bitcoin Strategic Reserve" among lawmakers could lead to further institutional and sovereign adoption of Bitcoin.

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