Recently, spot Bitcoin Exchange Traded Funds (ETFs) in the US saw a substantial influx of $257.3 million, marking the third consecutive day of significant investments. This surge in capital signifies a growing interest in Bitcoin among both institutional and retail investors.

The Grayscale Bitcoin Trust (GBTC) reported a positive inflow of $4.6 million, while BlackRock recorded $93.7 million in inflows after a period of stagnation. Other ETF providers also experienced notable inflows, with Fidelity receiving $67.1 million, Bitwise gaining $1.4 million, ARK Invest adding $62 million, Invesco seeing $6.2 million, Franklin capturing $3.8 million, and Valkyrie acquiring $18.5 million.

Debate Revived Around Bitcoin ETFs

Amidst the excitement over the inflows, a longstanding debate on the transparency and potential for market manipulation within the Bitcoin ETF ecosystem resurfaced. Concerns were raised about the off-chain recording of Bitcoin transactions by major institutions like BlackRock.

Responding to these concerns, industry experts defended the regulatory practices governing ETFs, noting that they are required to hold full backing in spot Bitcoin for all settled shares. This ensures compliance with regulatory standards and mitigates any potential risks associated with off-chain transactions.

At the time of reporting, Bitcoin was trading at $66,109.