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Bitcoin News Update: Major Institutions Adopt Bitcoin as SEC-Approved ETFs and Custody Services Accelerate Widespread Adoption

Bitcoin News Update: Major Institutions Adopt Bitcoin as SEC-Approved ETFs and Custody Services Accelerate Widespread Adoption

Bitget-RWA2025/10/26 17:34
By:Bitget-RWA

- Bitcoin's institutional adoption accelerates via $4.21B ETF inflows in October, led by BlackRock's IBIT with $210.9M net inflows. - SEC regulatory clarity drives "whale" BTC transfers to ETF custodial wallets, signaling market structure shifts and potential price stability. - JPMorgan plans 2025 crypto collateral loans, treating Bitcoin/Ethereum as legitimate assets, potentially injecting $50B in liquidity. - SEC reviews 155 crypto ETP filings for 2025, including ProShares' diversified ETF proposal track

The pace of institutional involvement in Bitcoin is picking up, with spot ETF investments and new corporate custody solutions driving the digital asset closer to widespread acceptance in traditional finance. Recent figures indicate

reached $4.21 billion in October, with BlackRock's iShares Trust (IBIT) alone attracting $210.9 million in net new funds. This uptick is part of a larger movement of institutional money flowing into crypto, and highlighted that has converted over $3 billion into its ETF since the U.S. Securities and Exchange Commission (SEC) provided clearer guidance for spot-based offerings.

Bitcoin News Update: Major Institutions Adopt Bitcoin as SEC-Approved ETFs and Custody Services Accelerate Widespread Adoption image 0

Recent SEC regulatory updates have prompted major Bitcoin holders—often called "whales"—to quietly move their assets into ETF provider-linked custodial wallets. Blockchain data shows previously inactive wallets now receiving large amounts of BTC, suggesting these investors are preparing for ETF-related arrangements.

, Robbie Mitchnick, who leads digital assets at BlackRock, said the company's ETF has become a preferred option for institutions seeking regulated crypto exposure. This trend could help stabilize the market by locking Bitcoin in custody, reducing available supply and potentially supporting higher prices.

JPMorgan's move into crypto-backed lending further demonstrates rising institutional trust. The bank intends to let institutional clients use Bitcoin and

as collateral for loans , officially recognizing these assets on their balance sheets. states that the initiative will rely on independent custodians for asset security and aims to boost liquidity without requiring asset liquidation. Bloomberg Intelligence projects that such lending programs could generate up to $50 billion in crypto-backed loans within two years. This development reflects a broader shift, as 70% of institutional investors now consider crypto a legitimate investment category.

Regulatory progress is also underway. The SEC is currently evaluating 155 crypto ETP applications covering 35 different cryptocurrencies for 2025. Although decisions have been postponed due to a government shutdown, outcomes are anticipated by early 2026.

an application for a diversified crypto ETF that tracks the CoinDesk 20 Index, which features Bitcoin, Ethereum, , and . If given the green light, it would be among the first U.S. ETFs to offer exposure to several leading cryptocurrencies, meeting the demand for regulated and diversified crypto investment products.

Despite these advances, the market remains unpredictable. As of October 24, Ethereum ETFs experienced

, a stark contrast to Bitcoin's continued strength. Experts attribute this difference to Bitcoin's reputation as a reliable store of value and its preference among institutional investors. At the same time, JPMorgan's collateral initiative and BlackRock's ETF expansion signal a maturing sector, where cryptocurrencies are evolving from speculative assets to essential components of institutional portfolios.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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