BlackRock is expanding its crypto offerings with plans to launch a Bitcoin ETP in Europe, building on the massive success of its U.S.-listed iShares Bitcoin Trust (IBIT). According to Bloomberg sources, the new fund will be based in Switzerland and could debut as soon as this month.
IBIT has rapidly grown to $58 billion in Bitcoin holdings, making it one of the world’s largest Bitcoin ETFs and the 31st largest ETF overall. The fund has led recent inflows in the U.S. market, with $934 million in net inflows since January 30, highlighting strong institutional demand.
Despite the expansion, Europe’s crypto ETP market remains smaller than the U.S., holding just 9% of global market share. While BlackRock initially considered structuring its European Bitcoin ETF as a wrapper for IBIT, EU regulators are expected to reject this approach, requiring the firm to launch a standalone product.
BlackRock now faces key challenges in fees, regulations, and market demand as it enters a more cautious European investor landscape. With existing products already offering competitive fees, the asset manager’s pricing strategy will be critical in capturing market share.
As the U.S. crypto industry welcomes Trump’s pro-crypto stance, European firms are preparing for stricter regulations under the Markets in Crypto-Assets Regulation (MiCA) framework.
Introduced in early 2023, MiCA is being gradually rolled out, increasing compliance demands for crypto businesses across the European Union. Meanwhile, the U.S. regulatory climate is shifting toward greater industry support, with Trump’s administration expected to relax restrictions and foster crypto-friendly policies.
This growing divide could make the U.S. a more attractive destination for crypto firms, while Europe’s tightening oversight adds new challenges for businesses operating in the region.
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