BlackRock attracted $15.1 billion into its digital-asset products over 12 months, but falling cryptocurrency prices reduced the value of those assets by nearly 39%.
Senior markets reporter covering crypto and DeFi.
BlackRock’s digital-asset products lost a substantial share of their value over the past year even as investors continued to add fresh capital.
The asset manager reported $48.8 billion in digital assets at the end of the second quarter, down from $79.6 billion a year earlier. That represents a decline of almost 39%.
The fall was not caused by a lack of investor interest. BlackRock recorded $15.1 billion in net inflows across its crypto products during the same 12-month period. Those additions were overwhelmed by $45.8 billion in market depreciation as cryptocurrency prices declined.
The figures illustrate a basic feature of the crypto fund business: strong subscriptions do not guarantee growth in assets under management when the underlying market is falling sharply.
Investors withdrew a net $3.1 billion from BlackRock’s digital-asset products in the second quarter. The redemptions came during a difficult period for major cryptocurrencies.
Bitcoin lost more than 14% during the quarter, while Ether declined by approximately 25%. Because spot crypto funds closely track their underlying assets, price weakness quickly reduced the reported value of BlackRock’s holdings.
This performance contrasted with the wider company. BlackRock ended the quarter with a record $15.3 trillion in total assets under management after attracting $192 billion in quarterly net inflows. It also reported adjusted earnings of $13.91 per share on revenue of $7.08 billion, both ahead of Wall Street forecasts.
Despite the decline, BlackRock has not stepped away from digital assets. The company is targeting $500 million in annual crypto-related revenue by 2030.
That goal is ambitious compared with the roughly $40 million it currently earns from base fees and securities lending in the segment. Crypto still accounts for less than 1% of the firm’s total fee revenue.
BlackRock entered the spot crypto ETF market in 2024 with its iShares Bitcoin Trust and iShares Ethereum Trust. It has since expanded its range, including a Bitcoin income product that uses covered-call options to generate distributions.
The firm is also building a role in the stablecoin economy. It manages about $60 billion in reserves for Circle and has described digital wallets as a potential distribution channel for traditional investments, managed accounts and tokenized portfolios.
The latest results show both sides of BlackRock’s crypto strategy. Investor demand remains meaningful, and the company sees a much larger future business. In the near term, however, revenue and asset growth remain highly sensitive to the direction of Bitcoin, Ether and the broader digital-asset market.
Source context: BlackRock’s second-quarter filing and earnings call, reported by CoinDesk on July 15, 2026.
Written and fact-checked with AI assistance, reviewed by a human editor before publication.
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