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BlackRock's IBIT has risen to third place in revenue and is about to take the number one position.
BlackRock's spot Bitcoin ETF IBIT has become the third-highest revenue-generating ETF for the company just 18 months after its launch, according to data from Bloomberg senior analyst Eric Balchunas.
MicroStrategy's strategic chairman Michael Saylor commented that IBIT will soon surpass the number one position in revenue among BlackRock's portfolio of over 1,100 ETF funds.
Currently, IBIT is managing approximately 76 billion USD in assets and has a management fee rate of 0.25%, equivalent to about 191 million USD in annual revenue. This figure is only surpassed by IWF (211 million USD) and EFA (207 million USD).
Another report from Bloomberg stated that IBIT is only about 9 billion USD in assets away from IWF to claim the top spot in revenue for BlackRock.
IBIT will launch in January 2024, coinciding with the approval of other spot Bitcoin ETFs by the US SEC. In just a few days, IBIT became the fastest ETF to reach $2 billion in inflows in history, breaking the record for the amount of subscriptions in the first week.
After six months, the fund has reached 50 billion USD in assets, showing a surge in demand from institutional and individual investors for legally managed Bitcoin.
IBIT is currently favored by financial advisors, hedge funds, and corporate finance departments as a safe and highly liquid channel to access Bitcoin, similar to the role of gold funds over the past two decades.