BlackRock Cuts IBIT Bitcoin ETF In-Kind Redemption Minimum 96% to $1M as Fund Sees $854M Weekly Inflows

Aug. 12, 2026 — BlackRock, the world's largest asset manager, lowered the in-kind redemption minimum for its iShares Bitcoin Trust (IBIT) from $25 million to $1 million, a 96% reduction. The change allows institutions and accredited investors with more than $1 million in IBIT shares to redeem directly for underlying BTC instead of receiving cash, marking one of the most retail-accessible structural shifts seen in the Bitcoin ETF market. The move follows last week's $854 million in net inflows, the strongest since April. Even as the Coldcard hardware wallet incident triggered roughly $130 million in losses, the five major Bitcoin ETFs still pulled in $620 million of net inflows, underscoring a 2026 high in the split between self-custody concerns and ETF-led allocations. Over the same stretch, IBIT drew more than $478 million and added 9,269 BTC this week, extending its streak to four straight days of net inflows. Spot BTC slipped below $64,000 and hit an intraday low of $63,238. Away from exchanges, risk appetite remained active. An anonymous whale accumulated 121,000 ETH (about $227 million) over the past month and staked the position, reinforcing growing expectations around ETH ETFs and a "dual accumulation" setup across BTC and ETH. With the SEC's Regulation Crypto vote due in two days on Aug. 14, investors will be watching whether the lower redemption threshold lands alongside clearer rules. If so, BTC near $63,000 may face a key test of long-term support. Risk Disclaimer: The views, conclusions, and recommendations in this content are for informational purposes only and do not constitute investment advice. The market carries risks; invest with caution.