BlackRock Set to Launch Bitcoin ETP in Europe Amid Rising Institutional Demand

BlackRock (BLK.N) is preparing to launch a bitcoin exchange-traded product (ETP) in Europe within weeks, a source familiar with the matter told Reuters, as demand for cryptocurrency exposure continues to grow among both institutional investors and retail consumers.

The product is expected to be domiciled in Switzerland, the source added. In recent months, BlackRock has also established a Zurich-based entity, iShares Digital Assets AG, focused on digital assets, according to a regulatory filing. BlackRock declined to comment on the development.

The Wall Street giant was among the first institutional players to introduce exchange-traded products tracking bitcoin’s spot price following the U.S. Securities and Exchange Commission’s approval of such funds in January 2024. The SEC’s decision was a milestone for the crypto industry, fueling optimism about the mainstream adoption of digital assets.

BlackRock’s flagship bitcoin ETF, IBIT, has seen rapid growth, with net assets reaching $57.5 billion as of Feb. 4, according to the company’s website. However, access to U.S.-based crypto investment products remains restricted for some global investors, making a European offering particularly significant. Bloomberg was the first to report on BlackRock’s European expansion plans.

While the U.S. crypto sector has welcomed Donald Trump’s election and his pro-crypto stance, the industry in Europe is navigating a more stringent regulatory environment. The European Union’s Markets in Crypto-Assets Regulation (MiCA), introduced in early 2023, is gradually being implemented, bringing new compliance requirements for crypto businesses operating in the region.