BlackRock launches the iShares Bitcoin Exchange-Traded product (ETP) in Europe, signaling a critical moment for the institutional adoption of Bitcoin in the region. The product began trading on March 25th on major European exchanges including Xetra, Euronext Amsterdam and Euronext Paris. However, analysts believe that European ETP demand will be lower compared to the US market, where BlackRock’s Islands Bitcoin Trust ETFs are experiencing a large influx. In fact, BlackRock’s US ETF has captured more than 50% of the market share of Spot Bitcoin ETFs, with holdings of $49 billion as of March 27, 2025.
While the European launch is seen as a positive step in Bitcoin’s mainstream adoption, Bitfinex analysts noted that US spot Bitcoin ETFs benefit from deep institutional demand and strong retail investors’ participation. Nevertheless, they believe that BlackRock’s entry into the European market is a key development. They also said that while European markets may take some time to grow, the presence of BlackRock could encourage other institutions to consider Bitcoin’s investment products.
According to Nexo analyst Iliya Kalchev, an early stage influx in Europe should not be considered a failure. Instead, he attributes smaller initial interests to structural market differences, suggesting that long-term success depends more on factors such as infrastructure, education, and regulatory clarity. Kalchev emphasized that BlackRock’s established reputation can help build momentum over time, even with modest initial influx.
Despite the slow pace in Europe, BlackRock’s Bitcoin ETP launch is considered a critical step in the global adoption of assets. The company, which manages assets of more than $11.6 trillion, could pave the way for more institutional investors to explore Bitcoin. As the regulatory environment surrounding cryptocurrency evolves in Europe, analysts expect institutional participation to increase, especially as clear regulations arise.
In the US market, Bitcoin ETFs have grown rapidly by January 2025, surpassing their cumulative holdings of $126 billion. However, it is expected that European Bitcoin ETFs will develop at a slower pace. As BlackRock’s Bitcoin ETP continues trading in Europe, future success will depend on the unique characteristics of the market and how well it can adapt to the infrastructure that supports it. Despite these challenges, analysts are optimistic about the long-term outlook for Bitcoin’s adoption in Europe.