BlackRock Files With SEC to Launch iShares Bitcoin Premium Income ETF
BlackRock is preparing to launch the iShares Bitcoin Premium Income ETF, as indicated by a recent SEC filing. The ETF will aim to track Bitcoin’s price while generating additional income by actively selling call options on its IBIT shares and, at times, on indices linked to spot Bitcoin ETPs. This strategy allows the fund to collect option premiums, which are then distributed to shareholders alongside returns from Bitcoin holdings, IBIT shares, and cash. Specific details, such as fees and ticker symbol, have not yet been disclosed. Similar products already on the market include the NEOS Bitcoin High Income ETF (BTCI), with $1.09 billion in assets and a 0.99% annual fee, as well as the Roundhill Bitcoin Covered Call Strategy ETF (YBTC) and YieldMax Bitcoin Option Income Strategy ETF (YBIT). Actively managed covered-call Bitcoin ETFs typically have higher fees than passive spot Bitcoin ETFs due to their more complex, higher-risk income-generating strategies.
