BlackRock Launches Bitcoin ETP in Europe, Offers 10 Basis Points Fee Waiver

BlackRock, a prominent global asset manager, has expanded its cryptocurrency offerings by launching a Bitcoin Exchange Traded Product (ETP) in Europe. This move follows the successful introduction of its US-listed spot Bitcoin ETF, the iShares Bitcoin Trust (IBIT), which has garnered significant assets under management.

The new iShares Bitcoin ETP will be available for trading on Xetra and Euronext Paris under the ticker IB1T, and on Euronext Amsterdam as BTCN. To attract investors, BlackRock is offering a temporary fee waiver of 10 basis points, reducing the expense ratio to 0.15% until the end of the year. This initiative marks BlackRock’s first crypto-linked ETP outside of North America, where it previously launched IBIT and the iShares Bitcoin ETF on Cboe Canada.

Manuela Sperandeo, BlackRock’s head of iShares Product for Europe and the Middle East, highlighted the growing demand from both retail and professional investors as a key driver for this expansion. She noted that BlackRock’s entry into the European market not only reflects this increasing interest but also aims to further propel it.

While Europe has a well-established market for crypto ETPs, with over 160 products tracking various digital assets, the scale of this market is still smaller compared to the US. According to an analyst, US spot ETFs, despite being relatively new, have captured a significant portion of the global market share. This dominance is largely due to their competitive cost structures and high liquidity.

The analyst suggests that if BlackRock can replicate the success of the US market dynamics in Europe, it could lead to substantial growth in the European crypto ETP market. This expansion by BlackRock is expected to bring more competition and innovation to the European market, potentially attracting more investors and increasing the overall market share of crypto ETPs in the region.