BlackRock Slashes Bitcoin ETF Fees in Emerging Market Share Battle

By: Eva Baxter

Global investment management corporation, BlackRock, has reduced its fee for the proposed Bitcoin ETF (Exchange-Traded Fund) to just 0.25%, with a special offer of 0.12% for the first $5 billion in assets or for the initial twelve months, according to an S1 filing they submitted early January 10. Recognized as a strategic move in the burgeoning Bitcoin ETF landscape, this shift sets the pace for other providers who are expected to vie for market share.

This fee decrease comes amidst an escalating 'race to the bottom' seen amongst asset managers, several of whom are adjusting their fees. Earlier, BlackRock had filed for a 0.3% fee with a promotional 0.2% offer for the initial $5 billion or twelve months.

Although the SEC's approval remains pending, it is anticipated before the close of this week, with various asset managers planning to begin trading from January 11. The situation has become slightly tangled following a late account compromise on January 9, that claimed premature SEC approval on the ETF. However, no delay has been confirmed.