BlackRock has filed for a third Bitcoin ETF, according to the asset manager's latest application. Unlike its existing spot Bitcoin and Ether funds, the proposed product would use options to limit both potential losses and potential gains. The filing lands with the company's crypto ETF lineup already two products deep — and notably, still no Solana or XRP fund.
A different kind of Bitcoin fund
The filing describes a fund built around options, not plain spot exposure. That's a meaningful distinction. BlackRock's current Bitcoin ETF tracks the coin directly; this one would wrap it in a structure designed to soften drawdowns. The trade-off is explicit in the application: capped upside in exchange for a floor on losses. For investors who want Bitcoin's exposure without Bitcoin's full swings, that's a different pitch.
It's also a narrower one. Options-based funds tend to appeal to a specific slice of the market — people who've watched Bitcoin's volatility and decided they'd rather give up some of the rally. Whether that slice is big enough to support a third BlackRock Bitcoin product is the open question.
Where Solana and XRP stand
BlackRock's existing ETF lineup covers Bitcoin and Ether. That's it. The company has not filed for Solana or XRP ETFs, despite both assets being widely discussed as candidates for spot funds. A third Bitcoin product, rather than a first fund for another asset, says something about where the firm sees demand concentrating.
The filing doesn't explain that choice. But the pattern is hard to miss: deepen the Bitcoin shelf before widening the asset list.
The options wrapper
Details beyond the basic structure — strike levels, roll schedules, the exact options strategy — aren't spelled out in what's been disclosed. The core idea is loss mitigation via options, which typically means buying protective puts or running a collar. Either way, the fund's returns won't mirror Bitcoin's. They'll lag in strong rallies and hold up better in selloffs.
That's the entire point. It's a product for people who own Bitcoin exposure reluctantly, or who want it in a retirement account with a smoother ride.
The application now goes through the regulatory review process, which for crypto ETFs has historically meant a waiting game measured in months. BlackRock hasn't said when it expects a decision or what the fund would charge. The filing is the first concrete step; the fee, the ticker and the launch timeline all remain unannounced.
For now, the immediate question is whether regulators treat an options-wrapped Bitcoin fund differently from a plain spot one. The structure is more complex, and complexity tends to slow reviews down. Watch the filing's comment period for the first real signal.
