Q1 inflows into BlackRock’s Bitcoin and Ether ETFs fell sharply by 83% to $3 billion.

BlackRock’s Crypto ETF Momentum Stalls as Inflows Drop 83% in Early 2025

BlackRock’s foray into digital assets continues to grow in scale, with total crypto-related assets under management surpassing $50 billion in Q1 2025. Yet despite the milestone, investor appetite for its spot bitcoin (BTC) and ether (ETH) ETFs faded sharply during the quarter.

The firm saw $3 billion in net inflows to its crypto ETFs in the first three months of the year, according to its latest earnings report—an 83% slide from the previous quarter’s surge, which had been fueled by a post-election rally and renewed optimism around digital assets.

That Q4 rally, spurred by Donald Trump’s electoral victory, had propelled both prices and sentiment higher, drawing significant inflows. But with crypto markets cooling and prices drifting lower in early 2025, demand tapered off.

Even so, the $3 billion in inflows is still notable, reflecting a steady undercurrent of institutional interest in regulated crypto investment vehicles—even as broader risk sentiment pulled back.

Crypto ETFs made up 2.8% of all first-quarter inflows into BlackRock’s expansive iShares ETF platform, which includes a mix of core, active, and strategic funds. By quarter-end, digital assets accounted for just 0.5% of BlackRock’s $10 trillion total AUM.

Revenue from these products remains relatively minor: base fees from digital asset ETFs totaled $34 million in Q1, contributing less than 1% of the firm’s long-term revenue.

The plunge in crypto ETF flows was part of a broader slowdown in ETF activity. iShares saw total inflows fall to $84 billion in Q1—down 70% from $281 billion in Q4—as markets grappled with shifting economic expectations under the new Trump administration.

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