BlackRock launches a Bitcoin exchanged-traded product in Europe

This is BlackRock’s first crypto ETP outside of North America and follows the success of its $48 billion U.S. Bitcoin fund, which launched in January 2024 and became the biggest ETF debut in history.

The new product will start with a temporary fee waiver of 10 basis points, cutting the expense ratio to 0.15% until the end of 2025. After that, it will return to 0.25%, matching the fee of CoinShares’ $1.3 billion physical Bitcoin product, which currently leads the European market in assets.

BlackRock partners with Coinbase, issues IB1T from Switzerland

The iShares Bitcoin ETP will be physically backed by Bitcoin and held by Coinbase Global Inc., who will reportedly act as the custodian. The product will be available to both institutional clients and qualified retail investors, and will be issued through a Swiss-based special purpose vehicle. Manuela Sperandeo, who leads iShares Product for Europe and the Middle East at BlackRock, said the firm sees rising interest across the board. “It reflects what really could be seen as a tipping point in the industry — the combination of established demand from retail investors with more professionals now really getting into the fold,” Manuela said.

Even though Bitcoin ETPs have been around in Europe for years, the market is still relatively small, with about $13.6 billion in total assets across products. That’s tiny compared to the U.S., where crypto ETPs exploded after the SEC approved several spot Bitcoin ETFs. BlackRock’s U.S. version, the iShares Bitcoin Trust, hit $48 billion in assets in just over a year. This European launch comes after months of anticipation and silent buildup.

The European expansion is happening while BlackRock is posting record financial results. In the fourth quarter of 2024, the firm’s assets under management hit $11.6 trillion, up from $11.48 trillion in Q3 and $10.01 trillion the year before. That number broke company records. The firm also saw a 21% jump in profits, closing the quarter with $1.67 billion in net income, or $10.63 per share, compared to $1.38 billion, or $9.15 per share, a year earlier.

Long-term net inflows in Q4 hit $201 billion, while total net inflows reached $281.4 billion, more than doubling from $95.6 billion in the fourth quarter of the previous year. The majority of that went into ETFs, which brought in $142.6 billion, and fixed-income products, which received $23.8 billion. The growth is being credited to strong market performance and client momentum, especially after Donald Trump’s presidential win in November 2024, which triggered a U.S. stock market rally based on expectations of tax cuts and deregulation.

The company’s buying spree also played a role in its expanding influence. In 2024 alone, BlackRock spent roughly $25 billion acquiring Global Infrastructure Partners, an infrastructure fund, and HPS Investment Partners, a private credit firm. Those deals pushed the firm deeper into private markets, where growth has been outpacing traditional public investments.

Larry Fink, BlackRock’s CEO, commented on how clients are responding to the firm’s aggressive moves. “For many companies, periods of M&A contribute to a pause in client engagement. At BlackRock, clients are instead embracing and rewarding our strategy,” Larry said in a statement last year.

The company’s performance was also boosted by market tailwinds. The S&P 500 ended Q4 with a 2.1% gain, closing out the year with a total rise of 23.3%, making it two years straight of 20%-plus returns. On the global side, the MSCI index for world stocks dropped 1.2% in Q4, but still climbed 15.7% over 2024, which was a second year of gains.

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