BlackRock, a heavyweight in asset management, has taken a significant step in Europe by rolling out its first bitcoin product on the continent—a physically-backed bitcoin exchange-traded product, or ETP.
Just this Tuesday, the iShares Bitcoin ETP began trading on Germany’s Xetra exchange, as well as the Euronext exchanges in Paris and Amsterdam. Investors can find it under the ticker IB1T on Xetra and Euronext Paris, and as BTCN on Euronext Amsterdam.
This new product follows BlackRock’s earlier release of a bitcoin ETF in the U.S. last year. This U.S.-based ETF, named the iShares Bitcoin Trust (IBIT), has amassed over $50 billion in assets, claiming the title of the largest spot bitcoin ETF worldwide. Although BlackRock’s CEO, Larry Fink, has previously expressed his skepticism about bitcoin, the growing interest and demand from clients seem to have swayed his stance.
With the introduction of the European bitcoin ETP, BlackRock is opening the doors for institutional investors in the region to engage with bitcoin’s price performance through a well-regulated, familiar investment option. While crypto ETPs have been available in Europe for a while, they have yet to catch up with the asset pool of their U.S. counterparts.
This particular bitcoin ETP from BlackRock comes with a management fee of 0.25%, which interestingly is temporarily reduced to 0.15% through a fee waiver lasting until the end of 2025. For secure custody of the bitcoin, the ETP partners with Coinbase.
As the world’s leading asset manager, overseeing over $10 trillion, BlackRock’s significant reach and resources amplify the influence of this development. This move is a clear indication of bitcoin gaining more acceptance and acknowledgment as a viable asset class among institutional investors worldwide.
