BlackRock’s Bitcoin ETF: A 2025 Sensation or a Crypto Catastrophe? 🚀💸

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Markets

What to know:

  • BlackRock named its iShares Bitcoin Trust (IBIT) one of its top three investment themes for 2025, despite bitcoin falling more than 4% this year. 🤯💸
  • IBIT has attracted over $25 billion in inflows since January, making it the sixth most popular ETF by new investment this year. Wow, who knew? 🤔
  • The move signals BlackRock’s conviction that bitcoin belongs in diversified portfolios, even as traditional alternatives outperform. Because nothing says “trust” like a 4% drop. 🎯

BlackRock named its iShares Bitcoin Trust (IBIT) exchange-traded fund (ETF) one of the top three investment themes for 2025, a striking move given bitcoin’s slide this year. Because who needs stability when you can have drama? 🥁

The firm placed IBIT alongside two more traditional offerings: the iShares 0-3 Month Treasury Bond ETF (SGOV) and the iShares Top 20 U.S. Stocks ETF (TOPT). Because nothing says “safety” like a crypto ETF. 🧠

Bitcoin has dropped more than 4% year-to-date, the first decline in three years, and IBIT has mirrored that performance. Even so, the ETF has seen strong investor interest. IBIT ranks sixth among all ETFs by 2025 inflows, pulling in over $25 billion since January. Because nothing says “I’m not a fan” like investing $25 billion. 💸

“It’s easy to frame this as BlackRock simply promoting its highest-revenue product,” said Nate Geraci, president of the ETF Store. “But I see it more as the firm doubling down on its conviction that bitcoin belongs in diversified portfolios.” Which sounds more like a desperate rom-com hero than a financial giant. 🎬

Geraci noted that BlackRock has other ETFs, like the gold-focused IAU, that are outperforming IBIT and charge higher fees. Yet the firm is spotlighting a product that underperformed in 2025, a rare move in an industry that typically pushes its top-performing funds. Because nothing says “we’re confident” like ignoring your own success. 🤷‍♀️

“If the objective were purely revenue generation, BlackRock has no shortage of ETFs with significantly higher fees that it could emphasize instead,” he said. “Asset managers aren’t typically in the business of spotlighting underperforming products, particularly when they have a deep bench of outperforming alternatives they could highlight.” But here we are, folks. 🤯

The inclusion of IBIT as a top 2025 theme signals a long-term bet on the crypto asset by the world’s largest asset manager. For investors who still see crypto as speculative or fringe, BlackRock’s positioning of bitcoin alongside cash and stocks may shift that perception. Because nothing says “mainstream” like a 4% drop. 📈

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2025-12-22 19:18