BlackRock’s Bitcoin ETF Now Out-Earning Its $624B S&P 500 Fund

BlackRock’s spot Bitcoin exchange-traded fund (ETF), known by its ticker IBIT, has surpassed the firm’s flagship S&P 500 ETF in annual revenue, according to a new report from Bloomberg.

Despite being significantly smaller in terms of assets under management, IBIT’s higher expense ratio has pushed it ahead of the iShares Core S&P 500 ETF (IVV) in fee income.

The report reveals that IBIT, with an expense ratio of 0.25%, is projected to generate approximately $187.2 million in annual fees. In contrast, the S&P 500 ETF—BlackRock’s long-standing, $624 billion index fund—charges a much lower 0.03% fee, resulting in a slightly smaller revenue stream of $187.1 million per year.

Bitcoin ETF Momentum Continues

IBIT launched alongside a wave of spot Bitcoin ETFs at the beginning of last year and has since emerged as the market leader. With more than $70 billion in assets under management, it is the most successful ETF tracking Bitcoin’s spot price and recently hit a new all-time high in AUM.

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While IVV remains one of the largest ETFs in the world by assets, the earnings performance of IBIT highlights the growing financial significance of crypto-based investment products—especially for institutions looking to diversify revenue streams through higher-fee offerings.

BlackRock’s success with IBIT underscores increasing demand for regulated Bitcoin exposure among investors, as well as the willingness of asset managers to capitalize on rising interest in digital assets.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.