IBIT Bitcoin ETF Becomes BlackRock’s Most Profitable Fund, Nears $100B Milestone

BlackRock’s iShares Bitcoin Trust (IBIT) has become the firm’s most profitable exchange-traded fund (ETF). It has earned more than $244 million in annual revenue. The fund is now only a small step away from surpassing $100 billion in assets under management, less than two years after its debut.

BlackRock’s Bitcoin ETF is Poised to Break $100B Record in Record Time

Bloomberg analyst Eric Balchunas described the growth as “absurd,” noting that the Bitcoin ETF’s revenue now exceeds all other BlackRock ETFs. He highlighted that while other top performers like IVV and EFA have been active for 24 to 25 years, IBIT reached this level in just 435 days.

Balchunas also pointed out that IBIT could soon become the fastest ETF ever to reach the $100 billion mark. Analysts at Standard Chartered predict Bitcoin price could soar to $200,000 this year, share a similar bullish outlook as Balchunas. The current record is held by Vanguard’s S&P 500 ETF (VOO) and it took the fund 2,011 days to achieve that milestone.

According to Bloomberg Intelligence data, IBIT’s performance now outpaces long-standing ETFs. These include the iShares Core S&P 500 ETF (IVV) and the iShares Russell 1000 Growth ETF (IWF). Despite being only over one year old, the Bitcoin ETF has already overtaken funds that have operated for over two decades.

IBIT’s $244M Revenue Marks a Significant Shift in Investor Interest

IBIT’s pace, less than 500 days, reflects unprecedented investor appetite for Bitcoin exposure through regulated financial instruments. The data also shows IBIT’s annual revenue at $244.5 million, compared to $219 million for both IWF and EFA.

iShares Core S&P 500 ETF manages assets worth $210 million with iShares Gold Trust (IAU) holding $151 million in assets under management. BlackRock has the most profitable Bitcoin ETF in the world with funds flowing into it consistently with more institutional investors willing to adopt cryptocurrency.

Analysts note that the milestone achieved by IBIT is proof that digital assets are becoming a normal aspect of traditional finance. Bitcoin’s continued rally amid broader market shifts further reinforces this trend.

The fast rise of the Bitcoin ETF has lifted overall crypto market confidence.  The Bitcoin ETF has shown strong investor confidence as it is roughly $2 billion short of the $100 billion mark.