BlackRock’s Bitcoin ETF has achieved a milestone by generating more annual fees than the company’s flagship S&P 500 fund. The iShares Bitcoin Trust (IBIT) now earns $187.2 million annually in fees, about $100,000 more than the iShares Core S&P 500 ETF (IVV).
BLACKROCK’S BITCOIN ETF IS NOW MORE PROFITABLE THAN ITS S&P 500 FUND 🤩
BlackRock’s $IBIT is now its 3rd HIGHEST-EARNING ETF out of 1,197 funds.
With $76 billion in assets and a 0.25% expense ratio, it now generates $191 million annually.
All this happened in JUST 18 MONTHS… pic.twitter.com/GW1xVxwFXX
— Wise Advice (@wiseadvicesumit) July 4, 2025
This achievement comes despite IBIT being eight times smaller than the S&P 500 fund. The Bitcoin ETF manages approximately $75 billion in assets with a 0.25% expense ratio, while the S&P 500 fund holds $624 billion but charges only 0.03%.
The milestone occurred during a strong period for Bitcoin ETF inflows. On July 2, Bitcoin ETFs recorded net inflows of $407.78 million, marking the 16th consecutive day of positive flows into US spot Bitcoin ETFs.
Fidelity’s FBTC led the daily inflows with $183.96 million, bringing its total inflows to $11.97 billion. The Grayscale GBTC, despite historical outflows, recorded a $34.56 million inflow for the day.
The cumulative net inflow into all listed Bitcoin ETFs has reached $49.04 billion. IBIT alone has attracted $52.4 billion in inflows since its January 2024 launch, making it the highest-performing US spot Bitcoin ETF.
Ark Invest’s ARKB received $83 million in inflows, increasing its total to $2.59 billion. Bitwise’s BITB recorded $64.94 million, while VanEck and Invesco’s BTCO saw inflows of $5.42 million and $9.85 million respectively.
The total assets under management for all Bitcoin ETFs reached $136.68 billion. This represents 6.3% of Bitcoin’s total market capitalization, showing the growing institutional presence in the cryptocurrency space.
Bitcoin’s price rose 1.49% to $108,903 during the same period. The cryptocurrency market showed broader strength, with Ethereum gaining 5.74% to reach $2,575 in 24 hours.
BlackRock’s IBIT closed trading at $62.41, up 4.31% for the day. The performance coincided with Bitcoin’s 2.82% price increase over the same period.
NovaDius Wealth Management president Nate Geraci attributed the fee revenue milestone to “surging investor demand for Bitcoin and the significant fee compression in core equity exposure.” The development has drawn attention from crypto executives who view it as evidence of institutional commitment to Bitcoin.
The Bitcoin ETF success reflects regulatory clarity that has enabled more asset managers to introduce Bitcoin investment products. This has provided both retail and institutional investors easier access to Bitcoin exposure without direct ownership requirements.
The streak of consecutive inflows demonstrates sustained institutional confidence in Bitcoin as a long-term investment vehicle despite market volatility.
The post BlackRock’s Bitcoin ETF Smashes S&P 500 Returns appeared first on CoinCentral.
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