TLDR
- BlackRock has filed for a Bitcoin Premium Income ETF using a covered-call strategy
- The new ETF would generate yield on Bitcoin holdings, complementing its $87B iShares Bitcoin Trust (IBIT)
- BlackRock now holds over $101B in digital assets, including 756,000 BTC and 3.8M ETH
- SEC has approved new listing rules to accelerate crypto ETF approvals
- Other cryptocurrencies like Solana, XRP, Litecoin, and Dogecoin may soon get ETF approval
BlackRock, the world’s largest asset manager with $12.5 trillion under management, has filed an application for a new Bitcoin Premium Income ETF. This move represents the company’s latest push into cryptocurrency products and could expand institutional exposure to digital assets.
The proposed Bitcoin Premium Income ETF is designed as a covered-call strategy. This approach would sell covered call options on Bitcoin futures to collect premiums and generate yield for investors. Bloomberg ETF analyst Eric Balchunas described it as a “sequel” to BlackRock’s highly successful iShares Bitcoin Trust (IBIT).
BlackRock has registered the name iShares Bitcoin Premium ETF and filed to register a Delaware trust company for the proposed fund. This registration typically indicates that an ETF issuer will soon file an S-1 registration statement or 19b-4 filing with the Securities and Exchange Commission.
The filing comes as BlackRock’s digital asset business grows rapidly. According to data from the Onchain Foundation, the company’s Bitcoin and Ether ETFs generate more than $260 million in annual revenue, with $218 million coming from Bitcoin products and $42 million from Ethereum.
BlackRock has quietly built a crypto empire!👇
In less than 2 ye,ars their Bitcoin and Ethereum ETFs are generating over $260M in annual revenue.
🔸 $218M from Bitcoin
🔸 $42M from EthereumThat’s a quarter-billion-dollar business, built almost overnight. For comparison, many… pic.twitter.com/NuhZnlMMAS
— Leon Waidmann 🔥 (@LeonWaidmann) September 23, 2025
BlackRock’s Growing Crypto Dominance
On-chain data from Arkham Intelligence shows that BlackRock has become the largest institutional custodian of both Bitcoin and Ethereum. The firm holds more than 756,000 BTC valued at $85.29 billion, alongside 3.8 million ETH worth nearly $16 billion.
Including smaller crypto holdings, BlackRock’s total digital asset custody now exceeds $101 billion. The company has been known to make large purchases during market downturns, helping to strengthen its position in crypto markets.
BlackRock’s iShares Bitcoin ETF (IBIT) has seen over $60.7 billion in inflows since launching in January 2024. This makes it by far the largest of its kind, with the Fidelity Wise Origin Bitcoin Fund (FBTC) in second place at $12.3 billion.
The firm’s Ethereum-linked fund recorded $512 million in net capital inflows last week. In its second-quarter earnings report, BlackRock disclosed $14.1 billion in digital asset inflows, making this category one of its fastest-growing product lines.
Crypto ETFs generated $40 million in base fees and securities lending revenue in the same quarter. While digital assets represent only 1% of BlackRock’s total assets under management, they are becoming a meaningful profit center.
Regulatory Changes Speed Up Crypto ETF Approvals
The SEC has approved new listing rules that could accelerate the launch of crypto exchange-traded funds beyond Bitcoin and Ether. On September 18, the commission voted to allow Nasdaq, Cboe BZX, and NYSE Arca to adopt generic listing standards for commodity-based trust shares.
This change replaces the lengthy case-by-case review process that previously delayed applications, often for months or years. Asset managers will now be able to bring products to market in as little as 75 days, compared with up to 240 days under the old system.
The first beneficiaries are likely to be spot ETFs tied to Solana and XRP, both of which have awaited approval for more than a year. Eligibility may extend to any cryptocurrency with at least six months of futures trading on the Coinbase Derivatives Exchange.
Balchunas suggests that with many other coins “about to be ETF-ized,” BlackRock is choosing to build around Bitcoin and Ether and “lay off the rest, at least for now.” This makes the competition for these other cryptocurrency ETFs more open to other issuers.
SEC Chair Paul Atkins said the shift balances innovation with investor protection and reflects the Trump administration’s broader embrace of digital assets. The move contrasts with the Biden-era approach, which saw years of delays before eventual approval of Bitcoin ETFs in January 2024.
BlackRock is also exploring tokenization, having launched its tokenized money market fund BUIDL, which has grown to more than $2 billion in assets. CEO Larry Fink has repeatedly stated his belief that every financial asset can ultimately be tokenized.
The filing for the Bitcoin Premium Income ETF comes as US regulators have signaled openness to a wider range of crypto investment products as part of President Donald Trump’s promise to make America the “crypto capital of the world.”
