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BlackRock Debuts iShares Bitcoin ETP on London Stock Exchange After UK Lifts Crypto Product Ban

Highlights:

  • BlackRock debuts iShares Bitcoin ETP on LSE, giving UK investors regulated access to Bitcoin exposure.
  • FCA lifted its four-year ban, allowing retail investors to buy crypto products safely.
  • Other companies have launched Bitcoin and Ethereum ETPs to offer lower fees for UK investors.

BlackRock launched its first Bitcoin exchange-traded product (ETP) on the London Stock Exchange on Monday. This move follows the Financial Conduct Authority’s (FCA) decision to lift its four-year ban on crypto investment products.

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The ETP, trading under the ticker IB1T, allows investors to gain exposure to Bitcoin without holding the cryptocurrency directly. Jane Sloan, Head of Global Product Solutions for EMEA at BlackRock, said the listing provides a safer and transparent entry point for retail investors.

This marks BlackRock’s first Bitcoin product in the UK. Earlier this year, it launched ETPs in Germany, France, and the Netherlands. The company intends to increase its operations in Europe and provide investors with controlled access to digital assets.

In the opening hour of trading, more than 1,000 shares have been traded. The activity indicates increasing interest by UK investors. Analysts say this launch could encourage further participation in regulated crypto products. The listing comes at a time when UK crypto adoption is rising. Estimates suggest the UK’s crypto investor base could reach four million by next year. BlackRock’s move provides a secure way for these investors to enter the digital asset market.

BlackRock Debuts iShares Bitcoin ETP Amid Renewed UK Market Confidence

The FCA’s decision to lift the ban allowed BlackRock and other firms to offer crypto ETPs to retail investors. The policy reversal encourages participation within safe, regulated platforms. Mark Aruliah, Head of Policy at Elliptic, said regulated access helps prevent consumers from turning to unregulated offshore markets. He insisted that the UK had to be competitive in the world.

The listing further solidifies the position of BlackRock as an institutional crypto product leader. Its flagship iShares Bitcoin Trust (IBIT) contains more than $85.5 billion in assets. This makes the firm a powerhouse in European and U.S. crypto markets. The UK is now working closely with the U.S. on stablecoins and digital asset structures. The goal of this coordination is to provide uniform control and market development.

According to analysts, regulated ETPs would enhance retail investor confidence. The entry via traditional investment options mitigates risks associated with direct cryptocurrency holdings. The launch of BlackRock creates a standard in transparency and security.

Other Asset Managers Expand Offerings

After the listing of BlackRock, 21Shares, Bitwise, and WisdomTree, they introduced their own crypto ETPs on the London Stock Exchange. These services provide Bitcoin and Ethereum offerings with low management fees.

21Shares launched four index funds that track crypto markets in a physical form, such as ABTC and AETH, and charged a fee of 0.10%. According to CEO Russell Barlow, the listings give UK investors access to markets that did not exist before in regulated markets.

Bitwise introduced four ETPs, lowering the fee on its Core Bitcoin ETP (BTC1) to 0.05% over six months. WisdomTree made its Bitcoin and Ethereum products available to UK investors through regulated platforms.

According to Alexis Marinof, Head of Europe at WisdomTree, the market has become mature and provides transparency just like conventional investments. The move by the FCA to lift the ban led to a flood of new products. Analysts believe that the trend may prompt further innovation and make the UK an influential center of crypto-driven investment.

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