BlackRock and Fidelity funds drive $643M bitcoin ETF outflow after Binance hack

On Oct. 30, U.S. spot bitcoin exchange-traded funds recorded $643.3 million in net withdrawals, the largest one-day outflow since June 25, led by BlackRock’s IBIT at $233.7 million and Fidelity’s FBTC at about $201 million. The withdrawals followed a $6.3 billion theft from the Binance cryptocurrency exchange on Oct. 29, which the FBI attributed on Oct. 31 to North Korea’s TraderTraitor group. Laevitas estimated the outflow at under 1% of assets, and the funds retained $98.14 billion in net assets. ViaBTC chief analyst Jeff Ko said spot ETF holders were not directly exposed to Binance because regulated custodians hold the underlying bitcoin, while Laevitas’ Rick Maeda described the withdrawals as risk reduction rather than capitulation or lost institutional confidence.