BlackRock's iShares Bitcoin Trust has achieved over 40% annualized returns since its January 2024 launch, even amid a recent crypto downturn. However, average investors have seen only 11% annualized gains over the same period through November 2025. This gap stems largely from late entry into the fund after its initial surge.
The iShares Bitcoin Trust, ticker IBIT, represents BlackRock Inc.'s entry into cryptocurrency exchange-traded funds. Debuting in January 2024, the ETF quickly gained traction in a volatile market. Bloomberg data indicates it delivered more than 40% annualized returns up to November 2025, holding firm despite a crypto selloff in recent months.
In contrast, Morningstar's analysis reveals that the typical investor in IBIT earned just 11% annualized over this timeframe. This disparity highlights the impact of investment timing. Many participants bought shares only after the fund had already experienced significant appreciation, missing out on early gains.
Such patterns are common in high-momentum assets like Bitcoin-linked products. The ETF's performance underscores the potential rewards of crypto exposure through traditional investment vehicles, but it also serves as a cautionary tale. Poor market timing can diminish returns from even the strongest funds, emphasizing the need for disciplined strategies in retail trading and broader markets.