BlackRock's Crypto ETFs Hit $60B AUM in Q1, But Fees Remain Modest at $42M

BlackRock’s digital assets franchise achieved a milestone in the first quarter of 2026, demonstrating its viability as a revenue stream for the world’s largest asset manager. The firm’s crypto ETFs generated $42 million in investment advisory, administration, and securities lending fees during the period.

While the figure is modest compared to BlackRock’s broader ETF complex—which earned over $2.4 billion in the same quarter—it underscores the higher-fee nature of crypto products. Digital assets accounted for 1.11% of BlackRock’s $5.48 trillion in total ETF assets under management (AUM), yet contributed 1.75% of fee revenue.

This discrepancy stems from crypto’s higher fee structure. Using BlackRock’s average AUM for Q1, the digital assets line operated at roughly 24.8 basis points annualized, compared to 17.2 basis points for the ETF complex overall. Despite this advantage, crypto’s revenue remains a small fraction of BlackRock’s total earnings.

Record Inflows, But Crypto Still a Fraction of the Pie

BlackRock’s crypto ETFs attracted $935 million in net inflows during Q1, representing just 0.71% of total ETF inflows. However, the category suffered a nearly $18.7 billion negative market move, reducing AUM from $78.4 billion at the end of 2025 to $60.6 billion by March 31, 2026.

This volatility highlights the dependency of crypto revenue on asset prices, as fees fluctuate with Bitcoin’s movements. While advisor approvals and platform listings play a role, the primary driver remains market performance.

IBIT Leads the Crypto ETF Franchise

As of April 29, 2026, BlackRock’s flagship Bitcoin ETF, IBIT, held approximately $61.7 billion in net assets at a 0.25% sponsor fee. This implies an annualized sponsor-fee revenue of roughly $152.9 million at that asset level. However, BlackRock does not disclose product-level revenue by ticker, and the $42 million figure covers the entire digital assets segment for the quarter.

The firm’s crypto ETF franchise includes two additional products:

• ETHA (Ethereum): $7.0 billion in AUM, 0.25% fee – Core Ethereum exposure
• ETHB (Staked Ethereum): $594.5 million in AUM – Higher-value wrapper tied to ETH exposure and staking rewards

Combined, these three products hold $68.8 billion in AUM, exceeding the March 31 digital assets AUM by 13.4%.

Key Takeaways

• BlackRock’s crypto ETFs generated $42 million in fees in Q1 2026, despite holding $60.6 billion in AUM.
• Crypto’s higher fee structure (24.8 bps vs. 17.2 bps) offsets its modest AUM share (1.11%).
• IBIT remains the flagship product, driving the franchise with $61.7 billion in AUM.
• Revenue remains volatile, heavily influenced by Bitcoin’s price movements.