BlackRock’s Bitcoin exchange-traded fund (ETF) closed November under pressure following enormous drawdowns, but the asset manager remains confident in its long-term prospects for the product.
BlackRock’s director of business development, Cristiano Castro, spoke in São Paulo he said The company’s Bitcoin (BTC) ETFs have become one of its biggest revenue drivers, calling their growth a “big surprise” given the rapid growth in allocations this year.
Castro’s comments followed a tough month for U.S.-listed IBIT BlackRock, which reported estimated net outflows of $2.34 billion in November. The two largest payouts occurred mid-month, with approximately $523 million paid on November 18 and approximately $463 million on November 14.
“ETFs are very liquid and powerful instruments,” Castro reportedly said after his panel at Blockchain 2025. “They exist to allow people to allocate capital and manage cash flow. What we have seen is completely normal; any asset that begins to compress tends to have this effect, especially in an instrument that is heavily controlled by retail investors.”
Related: Different Types of ETFs Explained – Cointelegraph
BlackRock’s Bitcoin ETFs have reached nearly $100 billion in peak assets
Castro added that demand at the beginning of the cycle speaks for itself. He added that the combined listings of companies in the U.S. and Brazil under the IBIT nameplate had assets worth “very close to $100 billion” at their peak.
As Cointelegraph reports, holders of BlackRock’s spot Bitcoin ETFs returned to profits after Bitcoin’s price topped $90,000 again on Thursday.
Investors in IBIT BlackRock are now seeing a cumulative gain of approximately $3.2 billion, reversing losses incurred during Bitcoin’s recent pullback. Holders of the IBIT and BlackRock Ether ETF saw their peak in early October of almost $40 billion before gains fell to just $630 million last week, meaning most positions were close to break-even until the recent rebound.
Related: Why the number of XRP ETF proposals is growing and what’s keeping other issuers on the sidelines
Bitcoin and Ether ETFs stopped their outflow streak
Spot Bitcoin ETFs ended four weeks of massive withdrawals with a weekly inflow of $70 million, reversing some of the $4.35 billion that left the sector in November.
Spot Ether ETFs (ETH) also rebounded, recording weekly inflows of $312.6 million after losing $1.74 billion in the previous three weeks.
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