BlackRock, the world’s leading asset manager, has introduced a Bitcoin exchange-traded product (ETP) on several European stock exchanges. This expansion into Europe follows the successful launch of its iShares Bitcoin Trust exchange-traded fund (ETF) in the US, which currently oversees $50.7 billion of assets, or almost 2.73% of the total Bitcoin supply.
Beginning on March 25, the iShares Bitcoin ETP started trading on Xetra, Euronext Amsterdam, and Euronext Paris. The move to Europe may not receive the same response as in the US, according to crypto investment firm Algoz. Bitcoin can be purchased more readily in Europe, and investment products through regulated asset managers have been widely available. However, the ability for traditional European family offices to hold a small amount of their assets in ‘digital gold’ is likely a positive development.
BlackRock’s new ETP, with a temporary fee waiver of 10 basis points, lowers the expense ratio to 0.15% until the end of 2025. Its cost undercuts Europe’s top crypto ETP, the CoinShares Physical Bitcoin ETP, which charges 0.25%. The competitive fee structure is designed to deter competition and question the commitment of new entrants, but is good for digital currencies and investors, encouraging the industry to adapt and provide better offerings.
For BlackRock, this is the first crypto ETP issued outside North America. Manuela Sperandeo, BlackRock’s head of Europe and Middle East iShares Product, sees this launch reflecting a tipping point in the industry, combining retail demand with more professional investors entering the fold. The company’s expansion to Europe also signifies their confidence in the European Union’s Markets in Crypto-Assets Regulation framework, which offers the regulatory stability companies want.
A recent earnings report from BlackRock showed that the company managed over $11.55 trillion on average during the fourth quarter of 2024. The firm has also launched the Grayscale Ethereum Trust ETF, the leading Ether (ETH) ETF, with $3.46 billion in assets under management.