Bitcoin News Today: BlackRock's Bitcoin ETF Hits $98B in 435 Days, Outpacing S&P 500 ETF's 5-Year Climb

BlackRock's iShares Bitcoin Trust (IBIT) has solidified its position as the leading U.S. spot Bitcoin exchange-traded fund (ETF), amassing $98.47 billion in assets under management (AUM) as of October 2025. This milestone was achieved in just 435 days, outpacing the growth of Vanguard's S&P 500 ETF (VOO), which took 2,011 days to reach $100 billion BeInCrypto^[5]. The fund's latest inflow of $899.47 million on October 7 alone brought its total Bitcoin holdings to nearly 802,257 BTC, representing 3.8% of the total circulating supply Cointelegraph^[2]. This surge underscores institutional confidence in Bitcoin as an asset class and highlights the fund's role in driving market liquidity.

The inflow momentum has been relentless, with IBIT capturing $1.8 billion of the $3.2 billion in U.S. spot Bitcoin ETF inflows last week BeInCrypto^[5]. Over seven trading days ending October 7, the fund accounted for $5.3 billion in net inflows, contributing to a record $22.5 billion in year-to-date inflows The Market Periodical^[1]. Bitwise CIO Matt Hougan forecasts that U.S. Bitcoin ETFs could surpass $30 billion in inflows by year-end, fueled by a "debasement trade" narrative as investors seek exposure to assets like Bitcoin and gold amid a weakening U.S. dollar The Market Periodical^[1]. BlackRock's dominance is further reinforced by its 0.25% expense ratio, a stark contrast to Grayscale's 1.5% fee for its Bitcoin Trust (GBTC), which has driven a mass migration of assets into IBIT despite GBTC's historical market leadership .

Market share data underscores this shift, with IBIT controlling 56% of all spot Bitcoin ETF assets, compared to 21% for Fidelity's FBTC and 18% for GBTC . The fund's institutional appeal stems from its integration with Coinbase Prime custody, narrow bid-ask spreads, and options trading availability. Arkham Intelligence attributes IBIT's success to BlackRock's brand trust, low fees, and reporting timing, which occasionally amplify inflow figures relative to peers . Meanwhile, Grayscale's GBTC has seen $17.7 billion in outflows since converting to an ETF, as investors opt for cost-effective alternatives .

The ETF's growth trajectory has also reshaped BlackRock's revenue landscape. IBIT now generates $244.5 million annually in fees, surpassing flagship funds like the iShares Russell 1000 Growth ETF (IWF) and the iShares MSCI EAFE ETF (EFA), both of which earn around $219 million yearly BeInCrypto^[5]. This profitability reflects the broader institutional adoption of Bitcoin, with 75% of institutional investors expecting cryptocurrencies to become a core portfolio asset within five years . Analysts note that IBIT's success has reduced volatility during corrections, as its large AUM and liquidity act as a stabilizing force BeInCrypto^[5].

Looking ahead, the fund's performance aligns with broader market trends. Bitcoin's price, which reached an all-time high of $126,000 earlier this year, has seen a 2.98% weekly gain despite a 0.62% 24-hour dip Cointelegraph^[2]. The total Bitcoin held by ETFs now exceeds 1 million BTC, or 4.7% of the total supply, with the U.S. leading inflows of $1.03 billion last week . As the industry braces for potential regulatory developments, including in-kind redemption approvals, BlackRock's IBIT remains a focal point for both institutional and retail investors seeking efficient Bitcoin exposure.