BlackRock is set to launch its iShares Bitcoin Premium Income ETF, trading under the ticker BITA, on the Nasdaq stock exchange this Tuesday, June 16. The fund received the green light from the U.S. Securities and Exchange Commission, followed by confirmation from Nasdaq, as noted by Bloomberg ETF analyst Eric Balchunas. This new product offers investors a way to earn income tied to Bitcoin without directly owning the cryptocurrency.
Rather than holding Bitcoin itself, BITA will invest primarily in shares of BlackRock’s existing iShares Bitcoin Trust ETF (IBIT), which is the largest spot Bitcoin ETF globally by assets under management. The fund’s strategy involves selling call options on its IBIT holdings, a covered-call approach that generates premium income for shareholders. According to the prospectus, the targeted annual yield is between 15% and 25%, while aiming to capture no less than 70% of Bitcoin’s price gains. Investors will pay an annual sponsor fee of 0.65%, along with other potential costs from options trading and fund operations.
This launch comes shortly after BlackRock filed for the ETF on June 12, positioning it as an income-focused alternative for those seeking Bitcoin exposure. Balchunas described BITA as a natural successor to IBIT, which has become the fastest-growing ETF in history by asset accumulation. Separately, BlackRock expanded its thematic ETF lineup last week by introducing the iShares Space Technologies UCITS ETF, trading under STAR in the UK and Europe, tracking the STOXX Global Space Satellites and Drones Index. The space fund includes companies earning at least 25% of revenue from space, satellite, or drone activities, with a fast-entry rule for newly listed qualifiers like a potential SpaceX listing. Balchunas had earlier predicted a mid-week debut for BITA, but Nasdaq’s swift approval moved the launch to Tuesday.