Key Highlights
- BlackRock’s iShares Bitcoin Trust (IBIT), introduced in January 2024, has rewritten ETF history by becoming the firm’s highest-earning product in under two years. The rapid rise of IBIT highlights how quickly digital assets have moved from a niche investment to a core component of institutional finance.
- IBIT reached $70 billion in assets in just 341 days after launch, making it the fastest-growing ETF ever recorded. At its peak in October 2025, when assets climbed to nearly $98–100 billion, the fund generated approximately $245 million in annual management fees. This officially placed IBIT at the top of BlackRock’s revenue chart.
- Although Bitcoin’s price correction in November 2025 reduced ibit stock’s assets to around $70.7 billion, the fund continues to outperform every other BlackRock ETF in terms of fee revenue.
From Launch to Record-Breaking Growth
IBIT’s growth trajectory has been unprecedented. During its first week of trading, the fund attracted $1 billion in assets. Momentum continued throughout 2024, and by year-end, IBIT had already crossed the $70 billion mark — a milestone no other ETF had reached so quickly.
The pace did not slow in 2025. By July, assets under management rose to $75 billion. In October, IBIT surged past $98 billion and briefly touched the $100 billion level, holding more than 700,000 bitcoins at its peak.
A sharp downturn in Bitcoin’s price, falling from $125,000 to $91,000, caused IBIT’s assets to retreat to approximately $70.8 billion. Even after this pullback, the fund’s rise remains unmatched in ETF history.
Why IBIT Generates More Revenue Than Traditional ETFs
BlackRock oversees more than 1,400 exchange-traded funds, many of which are significantly larger than IBIT in asset size. For example, the iShares Core S&P 500 ETF (IVV) manages around $624 billion. However, IVV charges a minimal fee of just 0.03%, producing roughly $187 million in annual revenue.
IBIT follows a very different model. With a management fee of 0.25%, nearly eight times higher than IVV’s, the Bitcoin ETF generates far more income per dollar invested. At approximately $98 billion in assets, IBIT delivered around $245 million in yearly fees — surpassing IVV, the Russell 1000 Growth ETF, and every other BlackRock fund.
When combined with BlackRock’s Ethereum ETF, the firm’s crypto-related products now contribute close to $260 million annually in fee revenue. Analysts note that the combination of strong investor demand and higher fee structures makes Bitcoin ETFs exceptionally profitable.
Market Volatility and Institutional Confidence
November 2025 proved challenging for broader financial markets. Bitcoin declined more than 25% from its all-time high, triggering outflows of roughly $2.34 billion from IBIT over several weeks.
According to BlackRock executive Cristiano Castro, such movements are expected in highly liquid ETFs, where investors can rapidly enter and exit positions. Despite the short-term withdrawals, institutional interest remains strong.
Harvard University’s endowment, for example, holds approximately $443 million worth of IBIT. Additionally, BlackRock’s own bond funds increased their IBIT holdings by 14% in the most recent quarter. Many analysts believe capital will flow back into the fund if Bitcoin resumes its upward trend.
The Road Ahead for IBIT
Market observers suggest that IBIT could evolve into a multi-billion-dollar annual revenue engine if Bitcoin prices climb toward $200,000. For BlackRock, the decision to embrace Bitcoin has already proven transformative.
A product that did not exist two years ago has now become the company’s most profitable ETF. IBIT’s rapid ascent demonstrates how firmly cryptocurrency has embedded itself within mainstream finance.
From zero assets to nearly $100 billion in record time, IBIT represents a defining moment for both BlackRock and the global ETF industry. The rise of the Bitcoin ETF signals that digital assets are no longer on the fringes of Wall Street — they are now at its core, with BlackRock leading the charge.
