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Coinbase will start charging conversion fees for monthly volumes above $75 million starting from Feb. 5. Daily inflows into Fidelity’s spot Bitcoin ETF outstripped GBTC’s outflows on Jan. 29 in a sign of potential “shifting” tides for the newly launched Bitcoin ETFs. Meanwhile, the assets under management held by BlackRock’s Bitcoin exchange-traded fund have surpassed $2 billion, industry data shows.
Coinbase to soon charge conversion fees above $75M monthly volume
The largest United States-based crypto exchange, Coinbase, has introduced commission fees for conversions from USDC to USD, exceeding $75 million. An exception will be made for Tier 1 and Tier 2 Coinbase Exchange Liquidity Program members.
The announcement of conversion fees appeared on the Coinbase help page on Jan. 30. According to the page, from Feb. 5, Coinbase will begin assessing a fee on USDC to USD net conversions over $75 million per rolling 30-day period.
As explained by Coinbase in the announcement, net conversion is calculated by subtracting the total USD to USDC conversion volume from the total USDC to USD conversion volume over the past 30 days.
Fidelity Bitcoin ETF inflows offset GBTC’s softening outflows
Fidelity’s spot Bitcoin exchange-traded fund (ETF) has reportedly managed to pull in $208 million in daily inflows on Jan. 29, outstripping outflows from Grayscale Bitcoin Trust for the first time outside their launch day.
According to provisional data from Farside Investors, Fidelity’s FBTC raked in $208 million in inflows on Monday, compared to the $192 million outflowed from the GBTC — the lowest daily outflows outside of its re-launch, per BitMEX Research data.
The latest GBTC outflows mark a nearly 25% drop from $255 million on Jan. 26, and a 70% drop from the fund’s peak daily outflows of $641 million on Jan. 22.
It’s also the second-lowest outflow day for Grayscale’s fund, besides the $95 million that left the fund on Jan. 11 — the day it was converted to a spot Bitcoin exchange-traded fund (ETF).
BlackRock’s Bitcoin ETF surpasses $2 billion in AUM
BlackRock’s Bitcoin exchange-traded fund (ETF), which trades under the ticker IBIT, has crossed $2 billion in assets under management mere weeks after its launch.
Industry data shows that IBIT now holds more than 52,000 BTC, worth more than $2 billion at current prices. IBIT has seen the highest total volume outside of the Grayscale Bitcoin Trust (GBTC).
According to Bloomberg ETF analyst James Seyyfart, the newly approved spot ETFs are “offsetting those outflows” of GBTC, which has experienced heavy selling since being converted into a spot ETF.
According to Rajat Soni, a popular investor and active social media personality, BlackRock’s clients are buying more Bitcoin than the network produces each day. This means a supply squeeze is likely underway, which could send prices higher in the foreseeable future.
“Right now only 900 BTC are being issued every day. Blackrock clients alone are buying 2-5x the total daily production of BTC,” he said.
Source: Cointelegraph.com
