In a recent report from CoinDesk and Bloomberg, BlackRock’s spot Bitcoin ETF — the iShares Bitcoin Trust (IBIT) — has reached a historic milestone: generating more annual revenue than its flagship product, the iShares Core S&P 500 ETF (IVV).
With a 0.25% management fee and assets under management (AUM) of around $52–$75 billion, IBIT now brings in approximately $187.2 million per year, slightly above IVV’s $187.1 million, despite IVV managing over $600 billion in assets.
“Bitcoin has Wall Street’s full, undivided attention now,” wrote investor Anthony Pompliano on X, reflecting the growing enthusiasm among institutional investors.
Are Institutions Starting to See Bitcoin’s Strategic Value?
This marks a key turning point: institutions are no longer just curious about Bitcoin — they’re committing. IBIT took only 18 months since its January 2024 launch to become the largest spot Bitcoin ETF in the U.S., holding over 55% market share.
IBIT’s revenue surge shows that investors are willing to pay a premium for regulated, secure Bitcoin exposure. It also signals a growing shift in trust, from traditional assets to digital ones.
Bitcoin Competes with Stocks, Not Just Gold
Bitcoin has often been referred to as “digital gold.” However, with IBIT now outperforming equity ETFs like IVV in terms of revenue, it is increasingly regarded as a direct alternative to equities rather than merely a hedge commodity.
While stock ETF fees have been squeezed to near zero, crypto ETFs continue to maintain high margins. That’s because they offer more than just returns: they offer access to the future of finance.
Is This the Beginning of Crypto Dominance on Wall Street?
The success of IBIT is not just a win for BlackRock — it’s a symbolic win for the crypto industry. For the first time, digital assets are not on the sidelines but leading the charge in institutional revenue flows.
The fact that a Bitcoin ETF can surpass the revenue of an S&P 500 ETF — managed by the world’s largest asset manager — suggests that a new era is emerging. Bitcoin is no longer just speculative. It’s becoming a core pillar in modern portfolios.
%201.png){kind=logo}
