BlackRock’s digital asset business recorded a strong rebound in the third quarter, with crypto assets under management rising 63% to $79.6 billion as investor demand strengthened. Despite the recovery, the total remains 23% below its level from a year earlier, reflecting the impact of the cryptocurrency market slump.
The asset manager’s crypto funds performed much better in the July-to-September period than during the first half of 2026. However, the latest gains have not fully reversed the losses caused by declining cryptocurrency prices and earlier investor withdrawals.
BlackRock’s third-quarter earnings report, published Wednesday, showed that its digital asset holdings increased from $48.8 billion at the end of June to $79.6 billion by Sept. 30.
Investors contributed $7.9 billion in net inflows during the quarter, reversing the trend from the first six months of 2026, when the company’s digital asset products experienced approximately $2.2 billion in net outflows.
The shift coincided with a recovery across cryptocurrency markets. Bitcoin (BTC) and other digital assets had weakened during the first half of the year, dragging down the value of funds holding them. A subsequent price rebound lifted those valuations, while renewed investor interest added to the recovery.
Market gains were the primary driver of the quarterly increase. Of the $30.8 billion rise in BlackRock’s digital asset holdings, $22.9 billion came from appreciation in market prices, while $7.9 billion resulted from net investor contributions.
Even after this improvement, the firm’s crypto assets remain below the nearly $104 billion recorded a year ago, leaving them around 23% short of that previous level.
The decline does not indicate that investors have broadly abandoned BlackRock’s crypto products. Over the past 12 months, the company attracted $6.3 billion in net new investment. However, falling market valuations reduced the value of its digital asset holdings by $30.6 billion over the same period, more than offsetting those inflows.
The figures underscore the influence of cryptocurrency prices on BlackRock’s digital asset business, even as capital continues to flow into its investment products.
BlackRock, which operates the iShares Bitcoin Trust (IBIT), generated $39 million in quarterly revenue from fees and securities lending related to its digital asset offerings.
The company did not disclose individual asset totals or investment-flow figures for its Bitcoin fund in the earnings report.
