Bitcoin: BlackRock plans BTC ETP launch in Europe, but…

• BlackRock eyes Europe for international expansion of its BTC-related ETP products. 
• ETF analyst Eric Balchunas is pessimistic about the likely demand for the EU ETP.  

BlackRock, the world’s largest asset manager with over $11 trillion in AUM (assets under management), plans to expand its Bitcoin-related exchange-traded products to Europe. 

According to a Bloomberg report, the fund is likely to be domiciled in Switzerland, and the marketing efforts for the product could kick off as early as this month, per close sources interviewed by the publisher.

U.S., Asia dominate BTC ETFs

Commenting on the update, Bloomberg’s senior ETF analyst noted that the U.S. and Asia currently dominate the BTC ETF market.

The analyst also said that Europe isn’t much into ‘hot’ trends. 

“Europe barely on leaderboard of spot bitcoin ETFs by size.. US spot ETFs only year old and have 91%(!) share of world…If BlackRock brings even some of the US Terrordome over there, should see success, although keep in mind Europeans much less into ‘hot sauce’ than US and certain Asian countries.”

As of this writing, details on the product’s fees were not public yet. 

That said, BlackRock was among the first issuers to get approval to launch a U.S. spot BTC ETF in early 2024.

The product, iShares Bitcoin ETF (IBIT), has been most successful both crypto scene and across traditional markets, too.

As of the 4th of February, IBIT had amassed over 585.3K BTC, worth nearly $58 billion based on press time market prices. 

Best bet is Bitcoin: BlackRock CEO

Interestingly, BlackRock’s CEO Larry Fink has also doubled down on BTC. He reiterated that it was the best asset of choice for anyone seeking refuge from fiat debasement (inflation) or political instability. 

In fact, during the recent World Economic Forum in Davos, Switzerland, he stated, 

“If you’re frightened of the debasement of your currency, or… of the economic or political stability of your country, you can have an internationally based instrument called Bitcoin that will overcome those local fears.. BTC could be $500k, $600k, $700k”