BlackRock has expanded its crypto footprint to the United Kingdom, launching its first Bitcoin exchange-traded product (ETP) designed specifically for retail investors. The iShares Bitcoin ETP began trading on the London Stock Exchange on Monday, giving UK investors access to physically backed Bitcoin exposure through a regulated and institutionally managed vehicle.
The product is fully collateralised with Bitcoin held in custody by Coinbase, which transfers all assets into segregated offline storage by the end of each trading day. Jane Sloan, BlackRock’s head of global product for EMEA, said the listing comes as the number of UK crypto investors is projected to approach four million by next year. She added that the launch provides a “secure and regulated gateway” for investors to participate in the digital asset market using familiar investment platforms.
This milestone follows the remarkable success of BlackRock’s U.S. spot Bitcoin ETF, which became the firm’s most profitable exchange-traded fund just 21 months after launch, amassing over $87.5 billion in assets under management. The fund had been expected to hit $100 billion before the recent crypto market crash disrupted its momentum.
According to Fabian Dori, Chief Investment Officer at Swiss digital asset bank Sygnum, the UK ETP underscores the growing institutional acceptance of Bitcoin as an investable asset class. He noted that similar developments are underway globally, with new crypto ETPs and diversified digital-asset baskets advancing in the U.S. and other regions. Dori added that the UK’s Financial Conduct Authority (FCA) is likely to proceed cautiously, observing how the market performs before expanding access to more crypto products.
The move also highlights a significant shift in attitude from BlackRock’s leadership. CEO Larry Fink, who once called Bitcoin an “index of money laundering” in 2017, has since revised his stance. Speaking recently with CBS, Fink said that crypto “serves the same purpose as gold” and plays a legitimate role as an alternative asset in modern portfolios.
Despite the optimism surrounding the launch, market conditions remain turbulent. Digital asset products saw $513 million in outflows last week after a Binance-driven liquidity crunch on October 10 caused nearly $20 billion in liquidations—$16.7 billion of which were long positions. Bitcoin’s price currently hovers around $110,894, down nearly 4% in 24 hours.
As global regulators grapple with fragmented crypto oversight, BlackRock’s latest move represents both a milestone and a test. While it opens doors for millions of UK investors, it also places the spotlight on how traditional finance giants and regulators will manage digital assets amid market volatility and evolving policy landscapes.
