Monday 16 Dec 2024
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(Nov 21): US exchange-traded funds investing directly in bitcoin surpassed US$100 billion (RM447.4 billion) in total assets as the original cryptocurrency extended a record-breaking rally.

The group of 12 bitcoin ETFs from issuers including BlackRock Inc and Fidelity Investments swept to the milestone 10 months after a January debut, ranking them among the most successful fund category launches ever.

They recorded a US$773 million net inflow on Wednesday as bitcoin reached record highs, according to data compiled by Bloomberg. The original digital asset continued to push on toward the US$100,000 mark on Thursday.

Bitcoin’s rise is fuelled by optimism surrounding President-elect Donald Trump’s plans to foster the growth of the crypto industry in the US. Trump’s transition team has begun discussions over whether to create a White House post dedicated to digital-asset policy. The industry is pitching for the position — which would be the first of its kind in the US — to have a direct line to the president-elect, who is now one of crypto’s biggest cheerleaders.

“This price rally is being fed by the frequent pro-crypto news linked to the incoming Trump administration,” Caroline Bowler, chief executive officer of BTC Markets Pty said.

Bitcoin rose as much as 3.6% to a record high of US$97,892 on Thursday, buoyed US$5.8 billion in net inflows into the dedicated ETFs since US Election Day on Nov 5. It has rallied over 129% in 2024, outperforming stocks, gold and other assets.

Uploaded by Magessan Varatharaja

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