BlackRock draws attention to Bitcoin ETF through forward-thinking advertising campaign
BlackRock, the world’s largest asset manager, is stepping up its advertising campaign for its new Bitcoin exchange-traded fund (ETF), positioning the digital asset as a symbol of progress. The campaign for the IBIT fund takes a more subdued approach compared to its competitors, featuring a simple design with a yellow background and a plane silhouette on a runway, accompanied by the message “Get your share of progress.”
This strategy has caught the attention of industry experts, such as Bloomberg Intelligence ETF analyst Eric Balchunas, who praised BlackRock for finding a balance between traditional fund advertising and appealing to a younger demographic. Balchunas also noted that BlackRock has the potential to dominate the category in terms of liquidity and sees the increase in advertising efforts as a strategic move. He found it interesting that BlackRock associates Bitcoin with progress rather than strictly categorizing it as a commodity or currency.
BlackRock’s advertising narrative also highlights that the ETF makes Bitcoin a standardized part of investment portfolios, similar to stocks and bonds. This message was part of the initial advertisement for the IBIT fund, which was launched on January 11 and targeted the affluent older generation. Since its launch, the IBIT fund has attracted $5.3 billion in investments.
The increase in advertising efforts coincides with Google’s decision to allow crypto-related ads earlier this month, signaling a significant shift in the digital advertising landscape for cryptocurrencies.
The market for Bitcoin ETFs has seen remarkable growth, with a record $2.4 billion invested in the last week alone, according to CoinShares. This influx represents a significant portion of the $2.45 billion invested in digital asset investment products during the same period.
The interest in spot Bitcoin ETFs, especially those recently approved in the U.S., has overshadowed the outflows from Grayscale’s Bitcoin Trust, which converted into an ETF. BlackRock’s IBIT and Fidelity’s FBTC have been the primary beneficiaries, attracting $1.6 billion and $648 million, respectively. This widespread distribution of net inflows among various providers indicates a growing interest in spot-based ETFs, according to James Butterfill, head of research at CoinShares.
The record inflows into the crypto asset class, with Bitcoin ETFs accounting for 99% of the total, coincides with Bitcoin’s price reaching $52,000 for the first time since December 2021. This recent surge in value has sparked speculation among investors about the potential for new all-time highs for the cryptocurrency later in the year.
