BlackRock’s IBIT Surpasses S&P 500 ETF in 2025 Inflows

BlackRock’s iShares Bitcoin Trust (IBIT) has officially overtaken SPLG, a long-standing S&P 500 ETF, to become the fourth-largest ETF by year-to-date inflows in 2025. According to Bloomberg analyst Eric Balchunas, this milestone reflects a growing shift in institutional capital allocation—from traditional equities to regulated crypto investment vehicles.

IBIT has recorded over $13.75 billion in net inflows so far this year, slightly surpassing SPLG's $13.74 billion. While the margin is slim, the significance is substantial. IBIT is just 18 months old, yet it is outperforming some of the most established passive investment products on the market.

In an even more remarkable development, IBIT now ranks fifth in cumulative three-year inflows, despite only recently becoming eligible for that list. At the top sits Vanguard’s VOO, which has already brought in nearly $82 billion in 2025—an unprecedented haul for an ETF, with June alone accounting for that entire figure.

Still, the rise of IBIT signals the legitimization of Bitcoin within institutional portfolios. As MicroStrategy Chairman Michael Saylor noted, if IBIT continues this trajectory, it could challenge even the biggest equity index funds. Balchunas acknowledged this possibility, adding that investors are clearly prioritizing access to Bitcoin through regulated, institutionally accepted vehicles.

Despite ongoing risks in the crypto sector, it’s clear that major investors are no longer on the sidelines. They’re embracing spot Bitcoin ETFs like IBIT as credible long-term holdings—solidifying Bitcoin’s position alongside the most dominant financial instruments in the U.S. market.

This shift underscores the accelerating convergence of traditional finance and digital assets as Bitcoin ETFs cement their place among leading investment products in 2025.