BlackRock Cuts IBIT Physical Bitcoin Conversion Threshold by 96% to $1M

BlackRock lowers IBIT in-kind creation floor from $25M to $1M, broadening access for institutions. Recent ETF inflows hit $750M weekly, signaling strong demand.

Woofun AI reports that BlackRock has lowered the minimum threshold for creating iShares Bitcoin Trust (IBIT) shares via physical BTC from $25 million to $1 million. This adjustment enables approved participants to exchange Bitcoin for IBIT shares rather than settling in cash, expanding access beyond large market makers. Robbie Mitchnick, head of digital assets at BlackRock, confirmed the new $1 million minimum on Bloomberg TV. The policy shift follows a period of robust inflows, with IBIT capturing $479 million over three days last week and U.S. spot Bitcoin ETFs recording over $750 million in net inflows during the first week of August.