BlackRock’s Bold Foray into Europe’s Crypto Market: Launching a Bitcoin Exchange-Traded Product
BlackRock, a global leader in asset management, is poised to make significant waves in the cryptocurrency sector with the introduction of its inaugural Bitcoin exchange-traded product (ETP) in Europe. Following the remarkable performance of its $48 billion US fund that tracks Bitcoin, BlackRock’s new iShares Bitcoin ETP is set to be listed on Xetra and Euronext Paris with the ticker IB1T, and on Euronext Amsterdam under the BTCN ticker.
BlackRock’s Strategic Entry into European Cryptocurrency
As part of its strategy to captivate investors, BlackRock is offering a temporary fee waiver of 10 basis points, effectively reducing the expense ratio to a competitive 0.15% until the year’s end. According to Bloomberg, this pricing positions the IB1T among the most cost-effective options available, offering a significant advantage over CoinShares International Ltd’s physical Bitcoin product, which has a fee of 0.25%.
Advertisement Banner
Manuela Sperandeo, BlackRock’s head of Europe & Middle East iShares Product, highlighted the launch as a potential “tipping point” in the cryptocurrency industry. This ETP marks BlackRock’s first venture into crypto-linked exchange-traded products outside North America. Despite similar offerings in Europe for years, the market, valued at $13.6 billion, remains dwarfed by its US counterpart.
BlackRock’s US-listed iShares Bitcoin Trust gained substantial attention upon its launch in January 2024, following approval from the US Securities and Exchange Commission (SEC). The Trust quickly amassed billions in assets, setting new records for ETF launches.
The physical Bitcoin backing the IB1T will be securely managed by Coinbase Global. Designed for both institutional and informed retail investors, the product will be issued by a special purpose vehicle based in Switzerland.
Expanding Digital Horizons: BUIDL on the Solana Blockchain
In a related move, BlackRock is broadening its digital asset portfolio through a partnership with Securitize, a fintech company specializing in real-world asset (RWA) tokenization. The BlackRock USD Institutional Digital Liquidity Fund (BUIDL), which recently exceeded $1 billion in assets under management, will introduce a new share class on the Solana (SOL) blockchain. This marks BlackRock’s first tokenized fund on a public blockchain.
Launched in March 2024, BUIDL offers qualified investors access to US dollar yields on-chain with flexible custody options, daily dividend payouts, and near real-time peer-to-peer transfers.
With BUIDL now accessible on seven blockchains, including Aptos (APT), Arbitrum (ARB), Avalanche (AVAX), Ethereum (ETH), Optimism (OP), and Polygon (POL), cross-chain interoperability is supported by Wormhole, enabling secure and seamless token transfers.
Carlos Domingo, co-founder and CEO of Securitize, emphasized the increasing demand for tokenized real-world assets and the company’s expansion to the Solana blockchain. He noted, “In the year since BUIDL’s launch, we’ve experienced significant growth in demand for tokenized real-world assets, reinforcing the value of bringing institutional-grade products on-chain. As the market for RWAs and tokenized treasuries gains momentum, expanding BUIDL to Solana—a blockchain known for its speed, scalability, and cost efficiency—is a natural next step.”
Current Market Dynamics
Currently, Bitcoin is trading at $88,000, reflecting an 8% increase over the past week. Solana has witnessed even greater growth, with a price surge of nearly 20% in the same timeframe, reaching $145.
Our Editorial Commitment
Our editorial process is dedicated to delivering thoroughly researched, accurate, and unbiased content. We adhere to strict sourcing standards, ensuring each page undergoes meticulous review by our team of top technology experts and seasoned editors. This rigorous process guarantees the integrity, relevance, and value of our content for our readers.
