• BlackRock has earned more than $260 million in under two years from its Bitcoin and Ethereum ETFs, making them some of its most profitable products.
• BlackRock’s iShares Bitcoin Trust alone pulled in $218 million in its first year, while its Ethereum-focused fund added $42 million.
• With more than $100 billion in combined assets and commanding market share, the funds underscore BlackRock’s rapid rise in digital asset finance

BlackRock has quietly turned its early foray into crypto into a lucrative venture, earning more than $260 million in annual revenue from digital asset products in less than two years.

The windfall stems largely from the rapid success of its spot Bitcoin and Ethereum exchange-traded funds (ETFs), which dominate their respective markets and now rank among the most profitable products in the firm’s portfolio.

How BlackRock Quietly Built One of Its Most Profitable Businesses Through Crypto ETFs

According to Dragonfly partner Omar Kanji’s data, BlackRock’s iShares Bitcoin Trust (IBIT) generated about $218 million in fees at a 0.25% commission rate during its first year. Its Ethereum fund, ETHA, added another $42 million under the same fee structure.

Sponsored

Sponsored

Kanji emphasized that the milestone is striking not only because of the size of the revenue. He noted that achieving it within a year of launch underscores how quickly BlackRock has entrenched itself in crypto finance.

The success of these funds reflects a broader trend: investors are paying significantly more to access crypto products compared with traditional ETFs.

While IBIT and ETHA charge 0.25% in annual fees, most of BlackRock’s established ETFs—including its flagship IVV fund—charge between 0.03% and 0.1%.

This disparity highlights how institutional demand for Bitcoin and Ethereum exposure has translated into premium pricing power for the asset manager.

Meanwhile, that strategy has coincided with investor enthusiasm for the market class.

Launched in January 2024, IBIT has grown into the largest crypto ETF globally and now ranks as the 22nd largest ETF overall by assets, according to VettaFi.

Additionally, SoSo Value data shows IBIT has attracted $60.6 billion in net inflows, representing nearly three-quarters of all US Bitcoin ETF flows. Today, it manages more than $88 billion in assets, cementing its role as the industry’s flagship product.

On the other hand, BlackRock’s Ethereum product, ETHA, has also become a force in its category.

Since its July 2024 debut, ETHA has drawn $13.4 billion in net inflows, giving it a commanding 72.5% share of all US ETH ETF flows.

Disclaimer