BlackRock CEO: 'Targeting $500 million in annual revenue from crypto products'… Set to become a core business within five years

BlackRock, the world’s largest asset manager, has laid out a goal of turning its crypto business into a major source of revenue.

According to Coincu on the 24th (local time), BlackRock CEO Larry Fink said, “Within the next five years, we can achieve about $500 million in annual revenue from the crypto business.”

The projection covers BlackRock’s broader digital-asset operations, including spot Bitcoin ETFs, an Ethereum ETF and tokenized assets.

At present, the centerpiece of BlackRock’s crypto revenue is the spot Bitcoin ETF iShares Bitcoin Trust (IBIT). IBIT manages roughly $50 billion in assets and is estimated to generate about $125 million a year in revenue, based on a 0.25% fee.

Additional revenue contributors include the spot Ethereum ETF ETHA and the tokenized money market fund BUIDL. Even so, the current level remains at about one quarter of the $500 million target.

BlackRock plans to more than triple revenue through growth in ETF assets, the launch of new products and an expansion of its tokenization business.

If annual revenue of $500 million materializes, it would amount to roughly 2.5% of BlackRock’s total revenue—seen as a meaningful share that could influence the firm’s strategy.

BlackRock is already making moves in the tokenization market. The Ethereum-based tokenized fund BUIDL amassed around $500 million in assets just a few months after launch.

Rivals are also expanding their crypto businesses. Major financial institutions including Fidelity, Franklin Templeton and Goldman Sachs are building revenue models across ETFs, custody and tokenization.