BlackRock, the world’s largest asset manager, reported a massive rise in cryptocurrency fund inflows during the second quarter of 2025, even as overall ETF inflows declined.
The company’s Q2 earnings, released Tuesday, show that crypto-related exchange-traded funds (ETFs) under its iShares brand gained $14 billion in inflows, up from just $3 billion in Q1.
This marks a 370% increase quarter-over-quarter. The surge in crypto flows means digital assets accounted for 16.5% of BlackRock’s total ETF inflows in Q2, a jump from 2.8% in the previous quarter.
While crypto inflows expanded, BlackRock’s total net inflows fell 19% over the same period, and it dropped from $84 billion in Q1 to $68 billion in Q2.
The firm attributed this decline to a partial redemption from a single institutional client, which withdrew $52 billion from a lower-fee index strategy. Despite the overall inflow decline, digital assets showed continued traction among investors.
As of June 30, digital assets generated $40 million in base fees for BlackRock, while it represented around 1% of the firm’s long-term revenue base. That figure is up from $34 million in Q1, an increase of 18%.
The company said the strong growth in digital asset revenue, though still small relative to its total base fees, indicates potential for future contribution as the segment matures.
BlackRock CEO Larry Fink commented on the broader performance of the company, he also noted that iShares ETFs saw a record first half in flows.
He highlighted a 16% growth in technology annual contract value (ACV). Fink said the firm continues to attract a new generation of global investors, driven in part by digital asset offerings and the expansion of joint ventures like Jio BlackRock in India.
Despite the current market volatility, the rise in crypto ETF inflows indicates increased institutional demand for digital assets.
BlackRock’s report may be a sign of further interest in digital asset products in the second part of the year, which will be followed by a rise in demand for regulated crypto investment products.
