BlackRock Transfers Massive BTC and ETH Holdings Worth $293M to Coinbase: Here’s Why

BlackRock transfers 2,400 BTC and 24,760 ETH worth $293M to Coinbase as $2.2B in crypto options are set to expire today.

BlackRock has moved $293 million worth of Bitcoin and Ethereum to Coinbase in a notable shift that comes as $2.2 billion in crypto options are set to expire today. 

The transfer includes 2,400 BTC and 24,760 ETH, reflecting rising activity from the world’s largest asset manager. This development follows consistent outflows from BlackRock’s crypto ETFs and adds to growing market anticipation ahead of potential volatility.

BlackRock Moves $293M in BTC and ETH to Coinbase

Blockchain data from Arkham Intelligence confirmed that BlackRock transferred 2,400 Bitcoin, worth around $217.12 million, into Coinbase.

In the same transaction batch, 24,760 Ethereum, valued at about $76.6 million, was also sent to the exchange.

The transfer follows a similar move on January 7, when the company deposited close to $280 million in BTC and ETH to Coinbase.

These consistent deposits suggest that BlackRock may be preparing to sell these crypto assets or redeem ETF shares through these holdings.

The recent ETF outflows also indicate that investors may be withdrawing funds, prompting BlackRock to move assets to meet those redemptions.

The timing aligns with broader ETF market activity and investor behavior.

Bitcoin and Ethereum ETFs Record Daily Outflows

Data from SoSoValue shows that BlackRock’s Bitcoin ETF (IBIT) experienced outflows of $193.34 million on January 8. 

That contributed to a total of $398.95 million in net outflows across all Bitcoin ETFs on the same day. This marked the third straight day of outflows after strong inflows of $700 million recorded on January 5.

Ethereum ETFs also showed similar activity. On January 8, they posted net outflows of $159.17 million.

BlackRock’s Ethereum ETF (ETHA) led the withdrawals with $107.65 million. This marked the second straight day of negative flows for the Ethereum ETF market.

Due to these continuous outflows, BlackRock appears to be moving assets to Coinbase, likely for liquidity or redemption-related purposes.

While the company has not released a public statement, the pattern aligns with market reactions to ETF performance and investor behavior.

Crypto Options Expiry May Affect Market Volatility

The timing of BlackRock’s latest deposit coincides with the expiry of $2.2 billion in crypto options on Deribit.

The expiration could cause price fluctuations across the crypto market depending on open interest positions and trader actions.

Bitcoin’s options are said to have a max pain point near the $90,000 mark, although actual market reactions can differ.

While no direct connection has been made between the options expiry and BlackRock’s deposits, the overlap in timing raises questions.

Large options expiries often bring added volatility as traders adjust positions or settle contracts. If the market sees large shifts, it could further influence ETF inflows or outflows in the coming days.

Related Reading: Bitcoin ETFs Pull $697M in One Day as BlackRock’s IBIT Leads Massive Market Inflows

Coinbase Stock Surges Following Bank Upgrades

Coinbase (COIN) stock rose by 16.96% over five days, closing at $247.54 on Thursday. The price increase followed back-to-back buy ratings from major investment banks.

Bank of America upgraded Coinbase from neutral to buy. It cited an expanding product lineup and stronger long-term positioning as key reasons.

Goldman Sachs also issued a buy rating on the stock earlier in the week, contributing to the price jump.

These upgrades show growing interest in Coinbase’s broader strategy, including its expansion into ETFs, tokenized assets, and Layer-2 solutions like Base.

The company’s efforts to diversify its services may position it more firmly in the evolving digital asset sector.

BlackRock’s deposits into Coinbase also come as the exchange gains renewed attention from both institutional investors and traditional finance analysts.

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