BlackRock has launched a Bitcoin-linked exchange-traded product (ETP) in the United Kingdom after regulators loosened restrictions on crypto investment vehicles. The iShares Bitcoin ETP appeared on the London Stock Exchange on Monday, according to the asset manager’s website.
The product, reported by The Sunday Times, is structured as a Bitcoin-linked security that lets investors buy fractions of Bitcoin (BTC) through units priced from about $11. The ETP tracks Bitcoin’s market price while operating inside a regulated framework, allowing UK investors to gain exposure through conventional brokerage accounts rather than crypto exchanges.
BlackRock said the product gives retail investors a way to access Bitcoin’s performance within a structure governed by UK securities rules. It mirrors similar vehicles in the United States and Europe, where the asset manager’s iShares Bitcoin ETF has gathered more than $85 billion in net assets, according to SoSoValue data.
Investor Takeaway
The listing adds momentum to Bitcoin-linked funds and signals growing comfort among UK regulators and investors with crypto-based securities.
FCA Softens Its Crypto Stance
The launch follows the Financial Conduct Authority’s decision earlier this month to ease its restrictions on crypto-linked products. On Oct. 9, the regulator lifted a four-year ban on crypto exchange-traded notes (ETNs), allowing institutional investors to buy and sell these assets on FCA-approved UK exchanges.
David Geale, the FCA’s executive director for payments and digital finance, said the market had “matured and become better understood” since retail access was restricted. Crypto ETNs, he added, now trade like other regulated securities, with underlying assets held by licensed custodians.
While the FCA has reopened the door to crypto-linked ETPs and ETNs, its ban on retail derivatives trading in digital assets remains. The regulator described these instruments as “high-risk investments” and said it would continue monitoring the market to assess whether further changes are warranted.
Regulators Eye Tokenization and Fund Innovation
The UK’s broader approach to digital finance has also shifted. On Oct. 14, the FCA said it would permit asset managers to use blockchain technology for fund tokenization, citing its potential to modernize fund administration and improve market efficiency. The move aligns with the government’s goal of positioning London as a hub for digital asset innovation.
Industry participants say the combination of the ETP approval and tokenization initiative could strengthen the UK’s competitiveness against European financial centers such as Frankfurt and Zurich, where crypto investment vehicles have already gained traction.
Investor Takeaway
With Bitcoin trading above $111,000, regulated exposure through ETPs could attract new capital from UK wealth managers and institutional portfolios seeking compliant crypto access.
Outlook for Bitcoin Investment in the UK
BlackRock’s move comes as investor appetite for digital assets strengthens after a volatile few years. Bitcoin ETFs and ETPs in the U.S. and Europe have collectively drawn billions in inflows in 2025, with institutional players increasing allocations to digital assets under clearer rules. Analysts say the FCA’s recent policy shift could prompt other global managers to bring similar products to the UK market.