BlackRock's spot Bitcoin exchange-traded ETF ended November under pressure after heavy withdrawals, however the asset manager stays confident about its long-term prospects for the product.
Cristiano Castro, director of business development at BlackRock, said in São Paulo that the corporate's Bitcoin (BTC) ETFs have grow to be one in all its biggest revenue drivers, calling their growth “a giant surprise” given how quickly allocations have increased this 12 months.
Castro's comments followed a difficult month for BlackRock's U.S.-listed IBIT, which recorded estimated net outflows of $2.34 billion in November. The two largest withdrawals occurred in the midst of the month, with about $523 million going out on November 18th and about $463 million going out on November 14th.
“ETFs are very liquid and powerful instruments,” Castro reportedly said after his panel on the 2025 Blockchain Conference. “They exist to permit people to allocate capital and manage money flow. What we’ve got seen is totally normal; any asset that experiences compression often has this effect, especially for an instrument that’s heavily controlled by retail investors.”
IBIT performance last month. Source: SoSoValue
BlackRock's Bitcoin ETFs peaked at nearly $100 billion in assets
Castro added that early within the cycle demand speaks for itself. Combined U.S. and Brazilian listings under the IBIT name were “very near $100 billion” at their peak, he said.
As Cointelegraph reported, BlackRock's spot Bitcoin ETF holders returned to profitability after Bitcoin climbed back above $90,000 on Thursday.
Investors in BlackRock's IBIT can now sit up for a cumulative profit of around $3.2 billion, recouping losses during Bitcoin's recent decline. Ether ETF holders at IBIT and BlackRock rose nearly $40 billion at their peak in early October before gains collapsed to simply $630 million last week, meaning most positions were near breakeven until the recent rally.
Bitcoin and Ether ETFs end run of outflows
Spot Bitcoin ETFs ended 4 weeks of strong withdrawals with a weekly inflow of $70 million, reversing among the $4.35 billion that left the sector in November.
Spot Ether (ETH) ETFs also rebounded, recording weekly inflows of $312.6 million after losing $1.74 billion over the past three weeks.
