Core Insights - The report highlights the significant rise of bitcoin exchange-traded funds (ETFs), particularly the iShares Bitcoin Trust (IBIT), and the impact of the options market on this product [1][6] Group 1: Bitcoin ETF Performance - Since its launch in January 2024, IBIT has achieved approximately $61 billion in net inflows over 18 months, marking it as one of the most successful ETFs ever [2] - IBIT now controls 57.5% of all bitcoin ETF assets under management (AUM), an increase from 49% in October 2024 [4] Group 2: Options Market Dynamics - The options market has reshaped investment flows, with IBIT attracting $32.8 billion in inflows while competitors have seen stagnant growth since the introduction of options trading [3] - The options market is now the dominant derivatives instrument, with over $90 billion in open interest, surpassing the futures market at $80 billion [1] Group 3: Competitive Landscape - IBIT's options open interest is approximately 40 times larger than that of Fidelity's FBTC, the second-largest ETF, which has around $1.3 billion [4] - IBIT's trading activity positions it as a competitor to Deribit, the largest crypto options exchange, which sees daily trading volumes between $4 billion and $5 billion [5] Group 4: Market Structure Changes - The report concludes that the introduction of options on top of spot ETFs has significantly altered bitcoin's volatility profile, indicating a major shift in market structure [6]