BlackRock’s U.S. Bitcoin ETF grew to $70 billion under management and generated approximately $245 million in annual fees, helping push the company’s total bitcoin allocations toward $100 billion in products.
Summary
- BlackRock’s US-listed Bitcoin ETF has amassed $70 billion in assets in 341 days and now owns more than 3% of Bitcoin’s supply.
- Combined US, Brazilian and foreign bitcoin products have attracted nearly $100 billion, with net inflows of $52 billion in the first year alone.
- The ETF is now BlackRock’s most profitable product line, bolstering institutional confidence despite normal volatility-induced outflows.
BlackRock’s exchange-traded Bitcoin funds have become the asset management firm’s most profitable product line, according to Cristiano Castro, director of business development at BlackRock Brazil.
The US-listed Bitcoin ETF, launched in January 2024, reached $70 billion in assets within 341 days, generating an estimated $245 million in annual fees, Castro said. The fund currently owns more than 3% of the total Bitcoin (BTC) supply.
Blackrock Bitcoin ETF Expansion
The ETFs expansion followed regulatory approval in the United States and increased institutional interest in cryptocurrency investment vehicles, the company said.
BlackRock’s other bitcoin products, including a Brazilian fund and overseas Bitcoin-linked exchange-traded products, have also recorded substantial inflows, contributing to a total allocation of nearly $100 billion to the firm’s bitcoin funds, Castro said.
Castro noted that outflows associated with price volatility are typical market behavior, and that ETFs provide investors with liquidity and flexibility to manage their positions.
BlackRock’s Strategic Income Opportunities Portfolio recently increased its holdings in the bitcoin ETF by 14%, demonstrating continued institutional confidence in the product, company information shows.
Net inflows into the ETF exceeded $52 billion in its first year, which is better than other ETF launches in the past decade. The scale of adoption exceeded internal company forecasts, BlackRock reported.
BlackRock manages more than 1,400 ETFs worldwide and has more than $13.4 trillion in assets under management, according to company data.
