BlackRock Approved by UK Regulator to Launch Bitcoin ETP in Europe

BlackRock, the $12 trillion asset management powerhouse, has officially received approval from the UK’s Financial Conduct Authority (FCA) to operate as a crypto asset firm.

The milestone enables BlackRock to offer its iShares Bitcoin Exchange-Traded Product (ETP) in the UK—an important step forward in the firm’s ongoing expansion into digital assets across Europe.

With this approval, BlackRock joins a select list of 51 FCA-registered firms, a group that includes major players like Coinbase, PayPal, and Revolut. Notably, only 14% of all FCA crypto firm applications have been approved, highlighting the strict regulatory standards and due diligence required to enter the UK’s crypto investment landscape.

iShares Bitcoin ETP: A New Gateway for European Investors

Launched earlier this week on Euronext Paris and Amsterdam, the iShares Bitcoin ETP (IB1T) gives European investors direct exposure to Bitcoin, without the complexities of self-custody or private key management.

To encourage early adoption, BlackRock has temporarily reduced the product’s fee to 0.15% through the end of 2024. Starting in 2025, the expense ratio will increase to 0.25%, aligning with similar offerings like CoinShares’ $1.3 billion physical Bitcoin ETP.

Each share of IB1T is backed by real Bitcoin, with Coinbase serving as the custodian. This structure mirrors BlackRock’s popular iShares Bitcoin Trust (IBIT) in the U.S., which has already attracted more than $48 billion in assets since launch. The ETP is managed through a Swiss-based special-purpose vehicle, ensuring full compliance with European financial regulations.

A Strategic Move Amid Growing Global Crypto Demand

BlackRock’s FCA approval comes at a time when global demand for Bitcoin investment products is accelerating, particularly outside North America. The move also echoes CEO Larry Fink’s recent comments about Bitcoin’s role as a potential store of value, especially as concerns over U.S. government debt mount.

In his 2024 annual letter, Fink warned that excessive spending could erode the U.S. dollar’s dominance, prompting investors to seek alternatives like Bitcoin. His remarks, combined with BlackRock’s expanding crypto offerings, signal a broader shift in institutional thinking toward digital assets as part of a diversified portfolio.

As more traditional finance firms step into the crypto arena, BlackRock’s European push positions it to capitalize on rising institutional interest—especially among investors seeking regulated, transparent, and efficient ways to gain crypto exposure.

Key Takeaways

• BlackRock receives FCA approval to operate as a crypto firm in the UK.

• The firm’s iShares Bitcoin ETP (IB1T) now trades on Euronext Paris and Amsterdam.

• The product offers direct Bitcoin exposure with a temporary 0.15% fee through 2024.

• Coinbase acts as custodian, and the structure is modeled after IBIT in the U.S.

• The move reflects growing global demand for regulated crypto investment products.