ProShares Bitcoin ETF AUM Hit Record $1 Billion in Two Days

Since the ProShares Bitcoin Strategy ETF began trading this week, it has become the fastest fund ever to hit $1 billion in assets under management (AUM).

The highly anticipated launch of BITO, America’s first bitcoin futures exchange-traded fund, has achieved a series of milestones.

Eric Balchunas, senior ETF analyst at Bloomberg, reported that the fund became the fastest ever to reach 10-figure AUM after trading for just two days. BITO easily surpassed the previous record holder, a gold-based fund launched in 2004 under the ticker symbol GLD, which took three days to cross the $1 billion AUM mark.

He commented that it was "poeticly appropriate," presumably referring to Bitcoin's store-of-value properties and digital gold metaphor.

Breaking records: BITO's assets hit $1.1 billion after today, making it the fastest ETF to hit $1 billion (2 days), beating GLD's 18-year record (3 days), which is poetic appropriate.

— Eric Balchunas (@EricBalchunas) October 20, 2021

James Seyffart, a research analyst at Bloomberg Intelligence, updated the original chart, and Balchunas, retweeting James Seyffart's post, lamented: "I've never seen anything like this. I bet even ProShares are shocked." "

If such volume continues, there may not be any contracts to buy, Balchunas commented, retweeting a post by ETFStore president Nate Geraci, which said nearly 45% of BITO's exposure is now in November futures in contract.

"If BITO continues at this pace of inflows, there won't be any futures to buy by the end of this month due to position limits."

When the ProShares fund launched on Oct. 19, it also set a record for its highest-ever first-day trading volume, hitting $1 billion. The fund traded more than 24 million shares on its debut, and its trading volume has now exceeded $2 billion since listing.

Balchunas predicts that the next bitcoin futures fund will launch on Friday. This is likely the Valkyrie Bitcoin Strategy ETF, which is changing its ticker back to BTF in preparation. In the crypto space, the previous symbol BTFD also means "buy the fuck *cking dip," which may not be very popular with the SEC.

I said it would be out tomorrow, but it's actually coming out on Friday. terribly sorry.

— Eric Balchunas (@EricBalchunas) October 20, 2021

That momentum has pushed the price of bitcoin to an all-time high of $67,276 on Oct. 20, according to data from CoinGecko. At the time of writing, the asset has pulled back slightly, changing hands for around $65,230.

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