In a significant move to capitalize on the growing interest in cryptocurrency investments, BlackRock, the world’s largest asset manager, has introduced its inaugural Bitcoin exchange-traded product (ETP) in Europe. This launch marks BlackRock’s first foray into the European cryptocurrency market, following the remarkable success of its U.S.-based Bitcoin fund, which attracted over $50 billion in assets.
The new iShares Bitcoin ETP will be listed on major exchanges in Europe, including Xetra, Euronext Paris, and Euronext Amsterdam, under the tickers IB1T and BTCN, respectively. The product is physically backed by Bitcoin and utilizes Coinbase for custody services, similar to its U.S. counterpart. To attract investors, BlackRock is offering a temporary fee waiver, reducing the expense ratio to 0.15% until the end of 2025.
This strategic move reflects BlackRock’s confidence in the European market’s potential for cryptocurrency investments, despite the region’s smaller size compared to the U.S., where crypto ETPs have seen substantial growth. The European crypto ETP market currently holds about $13.6 billion in assets, with CoinShares’ Bitcoin ETP being the largest, managing $1.3 billion.
BlackRock’s expansion into Europe is seen as a significant step in mainstreaming Bitcoin as an institutional asset class, leveraging the firm’s vast scale and distribution capabilities. The launch also highlights the increasing demand for regulated cryptocurrency products among both retail and institutional investors in the region.
