BlackRock’s U.S. Bitcoin ETF has rapidly grown to $70 billion in assets under management, generating approximately $245 million in annual fees. This significant achievement contributes to the firm’s total Bitcoin allocations nearing $100 billion across its various products.
The U.S.-listed Bitcoin ETF, launched in January 2024, reached the $70 billion asset milestone within 341 days. It now holds over 3% of the total Bitcoin supply. Cristiano Castro, director of business development at BlackRock Brazil, stated that this ETF has become BlackRock’s most profitable product line.
Combined, BlackRock's U.S., Brazilian, and overseas Bitcoin products have attracted nearly $100 billion in total allocations. The firm has seen net inflows of $52 billion in the first year of the ETF's operation alone. This level of adoption surpassed the company's internal forecasts.
BlackRock Bitcoin ETF Expansion
The expansion of BlackRock's Bitcoin ETF followed regulatory approval in the United States. This development coincided with increased institutional interest in cryptocurrency investment vehicles, according to the company.
BlackRock's other Bitcoin-related products, including a fund in Brazil and Bitcoin-linked exchange-traded products in overseas markets, have also experienced substantial inflows. These contributions have collectively pushed the firm's total Bitcoin allocations across all its funds toward the $100 billion mark.
Castro acknowledged that outflows related to price volatility are a normal aspect of market behavior. He further emphasized that ETFs offer investors the necessary liquidity and flexibility to manage their positions effectively.
Further demonstrating continued institutional confidence in the product, BlackRock’s Strategic Income Opportunities Portfolio recently increased its holdings in the Bitcoin ETF by 14%. This information was disclosed by the company.
Net inflows into the ETF surpassed $52 billion within its first year, a figure that outpaced the launch performance of other ETFs over the past decade. BlackRock reported that the scale of adoption exceeded their initial internal projections.
Globally, BlackRock manages over 1,400 ETFs and oversees more than $13.4 trillion in assets under management, according to company data.