BlackRock's Bitcoin ETP Set to Shake Up European Crypto Market

BlackRock, the world's largest asset manager, is planning to launch a Bitcoin-related exchange-traded product (ETP) in Europe, according to a Bloomberg report. The fund is expected to be domiciled in Switzerland and marketing efforts could commence as early as this month. The U.S. and Asia currently dominate the BTC ETF market, with Europe lagging behind. However, BlackRock's entry into the European market could significantly impact the region's crypto landscape.

BlackRock's iShares Bitcoin ETF (IBIT), launched in the U.S. in early 2024, has been highly successful, amassing over 585.3K BTC, worth nearly $58 billion at the time of writing. The company's CEO, Larry Fink, has also expressed his support for Bitcoin, stating that it serves as a refuge from fiat debasement and political instability. Fink believes that BTC could reach $500k, $600k, or even $700k in the future.

Meanwhile, Franklin Templeton Investments has filed for a multi-asset crypto index ETF with the U.S. Securities and Exchange Commission (SEC). The ETF would provide exposure to the spot prices of Bitcoin and Ethereum, with the potential to include additional cryptocurrencies in the future. The approval status for these proposed ETFs remains unresolved, but the growing trend of companies seeking approval for ETFs that encompass various digital assets beyond Bitcoin and Ethereum is evident.

In the U.S., several states are exploring the possibility of investing in Bitcoin and other cryptocurrencies. Utah is currently leading the charge, with a bill that would empower the state treasurer to allocate up to 5% of public funds towards the purchase of various digital assets, including Bitcoin. The bill has successfully passed through the Utah House and is now heading to the Senate for further deliberation. Other states, such as Arizona and New Mexico, are also considering similar initiatives, signaling a growing interest in cryptocurrency adoption among state legislatures.