BlackRock Strengthens Crypto Holdings with Bitcoin ETP and BUIDL Fund Expansion

By: Eliza Bennet

In a decisive step toward enhancing its foothold in the cryptocurrency sector, BlackRock, the world’s largest asset manager, has announced two significant advancements. On March 25, BlackRock introduced its iShares Bitcoin Exchange-Traded Product (ETP) across several European stock exchanges, marking a notable expansion of its crypto offerings beyond the U.S. market. Concurrently, BlackRock’s tokenized USD Institutional Digital Liquidity Fund, known as BUIDL, has now extended its support to the Solana blockchain, following successful implementations on Ethereum, Avalanche, Aptos, and others.

The Bitcoin ETP is set to trade on prominent exchanges such as Germany's Xetra, Euronext Paris, and Euronext Amsterdam under the tickers IB1T and BTCN, aiming to capture the robust European investment interest in digital assets. The ETP’s introduction comes with a competitive management fee designed to entice new investors, initially set at 0.15% through 2026, after which it will adjust to align with regional offerings at 0.25%. This move follows BlackRock's previous successes in the United States, where its iShares Bitcoin Trust manages a substantial portfolio valued at over $50 billion, representing approximately 2.9% of the entire Bitcoin supply.

Simultaneously, BlackRock’s venture into tokenized asset funds, BUIDL, continues to gain momentum, now reaching a market capitalization of approximately $1.7 billion. The fund's expansion to Solana is poised to enhance the tokenization process by leveraging Solana’s high-speed transaction capabilities and lower fees, promising greater efficiency and accessibility in blockchain-based financial products. As it stands, Ethereum holds the bulk of BUIDL's assets, together with significant allocations across other compatible blockchain networks.

BlackRock’s sustained innovation and strategic expansion into the cryptocurrency space underscore the growing fusion between traditional finance and digital assets. By making aggressive moves in both the ETP and tokenization spheres, the asset management giant is not only diversifying its investment product lineup but also playing a critical role in paving the way for wider institutional adoption of blockchain technology.