ETF of the Year Nominee: IBIT Shatters Records
Bitcoin's Wall Street debut transformed the investment landscape with unprecedented growth and adoption.
This is the third in a series of weekly articles previewing the five finalists for ETF of the Year, to be announced in a ceremony on April 23 in New York City.
BlackRock's iShares Bitcoin Trust (IBIT) redefined what's possible in the ETF world, shattering records and bringing cryptocurrency investing into the mainstream financial ecosystem. The landmark spot Bitcoin ETF accumulated billions in assets at a pace never before seen in the industry.
IBIT reached the $10 billion asset mark just seven weeks after its January 2024 launch. This milestone was achieved faster than any exchange-traded fund in history, demonstrating the enormous pent-up demand for regulated Bitcoin exposure.
By late May 2024, IBIT had accumulated nearly $20 billion in assets under management, making it the world's largest bitcoin fund and surpassing the long-dominant Grayscale Bitcoin Trust ETF (GBTC). BlackRock's offering quickly became the leading product among the newly approved Bitcoin ETFs.
Election Results Fuel Record Inflows
The fund experienced its strongest growth following the U.S. presidential election in November 2024, when investor interest in Bitcoin reached new heights, according to the filing. On Nov. 7, IBIT recorded over $1.1 billion in net inflows in a single day—its largest creation day ever, according to etf.com data.
This election-driven surge helped push Bitcoin's price upward, with IBIT playing a key role in the market dynamic. By year-end 2024, the fund's AUM had grown to over $50 billion, making it one of the fastest-growing ETFs in history.
2025 Brings Market Volatility
However, 2025 brought new challenges as investors began selling their holdings to cash in on gains. The first week of January saw IBIT's first streak of daily withdrawals, with investors pulling out a record $332.6 million on Jan. 2 alone, according to etf.com data. IBIT saw its largest day of outflows on Feb. 26 as $418.1 million left the fund.
Recent performance data show IBIT has faced turbulence in early 2025, with the fund down 11.8% over the past three months. Despite this volatility, IBIT maintains strong long-term numbers with a 15.7% gain over the past year.
The ETF continues to attract money in 2025, bringing in $2.7 billion over the past three months according to etf.com data, showing that investor interest remains strong despite price swings.
Source: etf.com
IBIT's success has connected traditional finance with cryptocurrency markets. With a 0.25% expense ratio and secure cold storage of its Bitcoin holdings, the fund has given investors an easier path to cryptocurrency without the complexities of direct ownership.
BlackRock's Bitcoin ETF now holds approximately 576,037 BTC, worth roughly $48.1 billion, according to BlackRock, highlighting the fund's major presence and impact on the cryptocurrency landscape.
