The launch of U.S. bitcoin exchange-traded funds (ETFs) on January 11, 2024, has been a significant event, with the BlackRock iShares Bitcoin Trust (IBIT) attracting $17.7 billion in net inflows since its debut. IBIT is seen as a competitor to MicroStrategy (MSTR), which holds a substantial amount of bitcoin and has a dual business model. MSTR has outperformed IBIT, with its stock rising 119% compared to IBIT's 35% year-to-date. MicroStrategy's ability to outperform is attributed to its lack of fees for shareholders, revenue generated from its analytics business, and the flexibility to raise capital through debt or equity offerings. MSTR also has better recognition and interest based on Google search trends. However, options trading on IBIT has been approved by the U.S. Securities and Exchange Commission, narrowing the visibility gap.



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