BlackRock’s iShares Bitcoin Trust (IBIT) is now generating approximately $187.2 million in annual fees despite managing only $52 billion in assets, whereas its iShares Core S&P 500 ETF (IVV) manages $624 billion but brings in slightly less revenue at around $187.1 million due to its much lower management fee of 0.03%. Launched in January 2024, IBIT has seen consistent inflows and has become the largest spot bitcoin ETF on the market, reflecting a growing demand for regulated bitcoin investment products offered by established firms. The higher fee structure of IBIT accounts for the complexities of managing a cryptocurrency fund, which include custody and regulatory requirements. Investors are attracted to IBIT for its fewer technical barriers to accessing bitcoin investments, distinguishing it from traditional asset management products.

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