BlackRock Launches First European Bitcoin ETP, Marking Industry Milestone

BlackRock, the world’s largest asset manager, has launched its first European Bitcoin (BTC) exchange-traded product (ETP). The iShares Bitcoin ETP (iB1T) began trading on major European exchanges, including Euronext Paris, Euronext Amsterdam, and Germany’s Xetra exchange. This move provides institutional and retail investors with regulated exposure to Bitcoin’s price performance, marking a significant step in the integration of cryptocurrencies into mainstream financial strategies.

The iShares Bitcoin ETP is physically backed by Bitcoin and secured through Coinbase Custody International Ltd. This ensures that the product offers a secure and reliable investment option for those looking to gain exposure to Bitcoin. Manuela Sperandeo, BlackRock’s head of Europe & Middle East iShares Product, characterized the launch as a significant industry milestone, stating that it reflects a tipping point in the industry where established demand from retail investors is combined with increasing interest from professionals.

This European expansion follows the success of BlackRock’s US-listed iShares Bitcoin Trust, which has accumulated over $50 billion in assets since its debut last year. By entering European markets, BlackRock signals its continued commitment to integrating cryptocurrency investments into mainstream financial strategies. Earlier this month, BlackRock incorporated its iShares spot Bitcoin exchange-traded fund (IBIT) into some of its model portfolios, further underscoring its confidence in the long-term potential of Bitcoin as an investment asset.

Michael Gates, lead portfolio manager for BlackRock’s Target Allocation ETF model portfolio suite, wrote in an investment commentary that the firm believes Bitcoin has “long-term investment merit and can potentially provide unique and additive sources of diversification to portfolios.” This strategic move highlights BlackRock’s belief in the growing acceptance of Bitcoin as a legitimate investment option and its potential to attract more investors, further legitimizing cryptocurrencies in the traditional financial landscape.

The launch of the iShares Bitcoin ETP in Europe is expected to encourage other major financial institutions to explore similar offerings, potentially leading to a broader adoption of cryptocurrencies in mainstream investment portfolios. This development is likely to attract more investors, further legitimizing cryptocurrencies in the traditional financial landscape. The growing acceptance of Bitcoin as a legitimate investment option is a pivotal moment for the cryptocurrency industry, highlighting the increasing demand from both retail and institutional investors.