BlackRock is helping Bitcoin holders turn their crypto into ETF shares, linking digital assets with Wall Street.
Bitcoin holders can now maintain crypto exposure while gaining the convenience of traditional finance.
A recent regulatory change has allowed large investors to execute an in-kind transaction. This means they can exchange their Bitcoin for shares of an ETF. No cash changes hands, and no taxable sale occurs. It’s a smooth, tax-neutral swap. It turns crypto into a tradable asset that traditional finance understands.
According to Bloomberg, BlackRock’s digital assets head, Robbie Mitchnick, said the firm has handled over $3 billion in conversions. Bitwise Asset Management and Galaxy Digital report that interest is growing. Investors are realizing how easy it is to move Bitcoin into the financial system without giving it up.
Mitchnick explained that many large Bitcoin holders want easier management of their assets. They want their cryptocurrency to work alongside their stocks and bonds on wealth management platforms. Investors can use Bitcoin ETFs as collateral, borrow against them, or include them in estate plans.
Bitwise president Teddy Fusaro shared a simple example. If you have $1 million in your wealth account but $5 million in Bitcoin, your advisor still treats you like a $1 million client. Once you move that Bitcoin into an ETF, you qualify for better services and benefits.
Even though Bitcoin’s creators designed it to escape traditional finance, TradFi is now pulling it back in. Bitcoin holders are choosing Wall Street’s convenience over ideology.
BlackRock’s move is changing how Bitcoin holders interact with their wealth. It is making life easier by making crypto a familiar financial product with ETFs. This action marks the final step towards Wall Street’s acknowledgment of Bitcoin.
The information provided by Altcoin Buzz is not financial advice. It is intended solely for educational, entertainment, and informational purposes. Any opinions or strategies shared are those of the writer/reviewers, and their risk tolerance may differ from yours. We are not liable for any losses you may incur from investments related to the information given. Bitcoin and other cryptocurrencies are high-risk assets; therefore, conduct thorough due diligence. Copyright Altcoin Buzz Pte Ltd.
Bitcoin climbed above $77,000 after the Bank of Japan raised rates to 1.25%, while the yen weakened and markets assessed the impact on global risk assets.
BTC
Ether and XRP ETFs saw fresh outflows as Bitcoin ETFs attracted $159 million and BTC climbed above $77,000. Zcash ETF demand also surged.
ETH
XRP+1 more
Bitcoin Core 32 adds parallel validation reads and a mempool-based fee estimator. Draft release notes also flag mining compatibility changes, wallet updates and server limits.
BTCBLACKROCK DRAWS BITCOIN WHALES INTO WALL STREET Big Bitcoin holders are shifting funds into Wall Street ETFs after July’s rule change allowing tax-free, in-kind Bitcoin transfers. BlackRock has converted over $3 billion so far, with Bitwise and Galaxy seeing rising demand. The Show more
2025 "has been a fairly positive year," BlackRock head of digital assets Robbie Mitchnick says, adding: However, that Friday the 10th episode "shone a light, I think, on some of the challenging, maybe concerning dynamics in the space."
According to Bloomberg, major asset managers like BlackRock are encouraging large Bitcoin holders to move their coins into ETFs via in-kind transfers, bringing them into the Wall Street system. BlackRock’s head of digital assets, Robbie Mitchnick, said the firm has already Show more
