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BlackRock Plans to Introduce iShares Bitcoin ETF in Australia

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Key Takeaways

  • BlackRock aims to debut its iShares Bitcoin ETF on the Australian Securities Exchange by mid-November.
  • The ETF will invest in the U.S.-listed iShares Bitcoin Trust and charge a 0.39% management fee.
  • BLK's move seeks to tap rising local demand as regulators tighten oversight of digital asset products.

BlackRock, Inc. (BLK - Free Report) is considering launching iShares bitcoin exchange-traded funds (ETFs) in Australia as it seeks to expand its global digital asset presence. The asset manager plans to roll out the ETF on the Australian Securities Exchange (ASX) by mid-November this year, according to Cryptonews.
 
The new ETF will charge a 0.39% management fee and will invest in the U.S.-listed iShares Bitcoin Trust, giving Australian investors regulated access to Bitcoin without requiring them to hold or manage it directly. The fee structure offers a cost-efficient and operationally smooth entry into the cryptocurrency market.

Rationale Behind BlackRock’s Move

BlackRock’s move seeks to capitalize on growing demand for Bitcoin ETFs in Australia, one of the fastest-growing markets outside the United States. The move comes after the Australian Securities and Investments Commission updated its guidance, classifying most digital assets as financial products and requiring providers to secure an Australian Financial Services Licence by June 2026.

Although Bitcoin itself is not considered a financial product, platforms and funds that provide exposure to it will be regulated under this framework, enhancing investor protection and market transparency.

BlackRock’s arrival will elevate the competition and liquidity in an already active Australian Bitcoin ETF sector. The major players include Global X 21Shares Bitcoin ETF, VanEck Bitcoin ETF, Monochrome Bitcoin ETF and DigitalX Bitcoin ETF.

BlackRock’s initiative aims to expand accessibility and democratize investment opportunities for more Australians, as both retail and institutional investors have shown greater interest in Bitcoin as a potential portfolio diversifier.

This move aligns with BlackRock’s strategy to grow assets under management and revenues. Last month, it launched iShares Bitcoin exchange-traded product (ETP) on the London Stock Exchange, allowing users to invest in retail assets.

BlackRock’s Price Performance & Zacks Rank

Year to date, shares of BlackRock have gained 3.4% against the industry’s decline of 10.6%.

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Currently, BLK carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Crypto Ventures by Other Major Finance Firms

Last month, Bloomberg reported that JPMorgan (JPM - Free Report) intends to allow institutional clients to borrow against their Bitcoin and Ethereum holdings by late 2025.

The lending program will be offered globally and will rely on a third-party custodian to hold the pledged crypto assets. This initiative expands on JPMorgan’s earlier pilot that used BlackRock’s iShares Bitcoin Trust as collateral.

Similarly, CNBC noted that Morgan Stanley (MS - Free Report) has notified its financial advisors that it is expanding crypto investment access to all clients and permitting such investments across all account types.

As a result, Morgan Stanley’s advisors will be able to recommend crypto funds to any client. In contrast, previously these offerings were limited to investors with aggressive risk profiles and at least $1.5 million in assets.


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