BlackRock is near the final stages of launching a bitcoin exchange-traded fund (ETF) designed to generate regular income for investors.
The fund, named iShares Bitcoin Premium Income ETF, will trade under the ticker BITA on Nasdaq. This follows the firm’s filing of a fourth amendment with the SEC, signaling progress toward approval.
The income mechanism relies on options trading. The fund will hold bitcoin directly and shares of its existing spot bitcoin ETF, IBIT, which manages $47 billion in assets. Each month, it will sell call options on these IBIT shares.
A call option allows buyers to purchase shares at a predetermined price. By selling these options, the fund collects premiums, which are distributed as income to ETF holders.
This strategy involves a trade-off: while the fund secures steady income, it also limits potential gains if bitcoin’s price surges. Investors accept this trade-off for consistent returns. The fund intends to allocate 25% to 35% of its assets to these call options at any given time.
BlackRock just filed a new (and probably final) amendment for their Bitcoin Premium Income ETF $BITA and WE HAVE A FEE: 65bps. Obv higher than $IBIT et al but lower than the two biggest ETFs in ‘covered call’ category which are 95bp and 99bp. My guess is this is going to launch… pic.twitter.com/KBwFrmkdbJ
— Eric Balchunas (@EricBalchunas) June 10, 2026
Analyst Eric Balchunas notes the fund’s fee structure positions it favorably against rivals. BlackRock’s 0.65% fee is lower than the 0.95% and 0.99% charged by the largest covered-call bitcoin funds, YBTC and BTCI. He anticipates the ETF’s launch, citing BlackRock’s pressure to outpace Goldman Sachs, which is set to debut its own bitcoin fund in July.
BlackRock already dominates the spot bitcoin ETF landscape through its iShares Bitcoin Trust (IBIT). The fund regularly attracts the largest inflows, even during market downturns. Competitors like Fidelity’s FBTC have also gained traction, but smaller issuers now play a minor role in daily trading volumes.
The new ETF would further cement bitcoin’s role as an income-generating asset for mainstream investors. The filing indicates the fund has already begun acquiring bitcoin and IBIT shares, suggesting it is close to finalizing its launch.
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