In a groundbreaking move, BlackRock Inc., the world’s largest asset manager with over $11.5 trillion in assets under management, is on the verge of launching a spot Bitcoin exchange-traded product (ETP) in Europe. This development comes as part of a report indicating that the fund is likely to be based in Switzerland, with marketing efforts potentially commencing as early as this month.
BlackRock has already made significant strides in the Bitcoin market, previously launching successful spot Bitcoin ETFs in regions including Canada and Brazil. This latest initiative represents a continuation of the firm’s commitment to expanding its cryptocurrency offerings internationally.
The anticipated listing is poised to leverage the momentum from BlackRock’s U.S.-based spot Bitcoin ETF, IBIT, which has been dubbed as the “greatest ETF launch in history.” Having accumulated over $50 billion in assets under management within its first year, IBIT has set a precedent that BlackRock aims to replicate in Europe.
At the recent World Economic Forum in Davos, BlackRock’s CEO Larry Fink expressed his strong belief in Bitcoin’s potential, predicting that its price could soar to $700,000 under certain economic conditions, such as heightened concerns around currency debasement and political instability. His comments reflect a growing sentiment among asset managers recognizing Bitcoin as a viable investment alternative.
“As more asset allocators invest in Bitcoin, its value could significantly rise, especially amidst fears of currency devaluation and economic uncertainty.”
As the cryptocurrency market continues to evolve, BlackRock’s forthcoming spot Bitcoin ETP in Europe is expected to attract considerable attention from investors. With an unyielding focus on innovation and expansion, the firm is poised to carve out a significant presence in the European Bitcoin arena. This development not only exemplifies BlackRock’s strategic approach but also signifies a broader acceptance of cryptocurrency as a mainstream asset class.
