BlackRock is poised to introduce Brazil’s inaugural spot Bitcoin exchange-traded fund (ETF), the iShares Bitcoin Trust BDR (IBIT39), marking a significant milestone for the country’s cryptocurrency market. Scheduled for debut on March 1 on Brazil’s primary stock exchange B3, the iShares Bitcoin Trust Brazilian Depositary Receipts (BDR) will initially target qualified investors, with plans to extend accessibility to retail investors pending regulatory approval.
Karina Saade, BlackRock Brazil Country Manager, disclosed the launch, underscoring the ETF’s objective to provide investors with regulated exposure to Bitcoin, highlighting the strategic expansion of digital asset investments in Brazil. Saade emphasized BlackRock’s commitment to delivering high-quality access vehicles to investors, positioning IBIT39 as a natural progression of their efforts in the digital asset market.
While recognizing the growing interest in crypto among investors, Saade clarified that BlackRock’s recent product offerings in both the United States and Brazil should not be construed as an endorsement of cryptocurrency. Instead, the focus remains on serving customers with secure and transparent products, with no specific recommendations or expectations regarding Bitcoin itself.
Structured to replicate Bitcoin’s price performance, IBIT39 features a management fee of 0.25%, which will be reduced to 0.12% for the first year on the initial $5 billion in assets under management (AUM).
Felipe Gonçalves, B3’s Interest and Currency Products Superintendent, highlighted the growth of the crypto ETF market in Brazil, noting its evolution since its inception in 2021. With 13 ETFs currently listed, the market has amassed R$2.5 billion in assets, signaling substantial growth and increasing investor participation over time. Gonçalves observed the market’s robust volumes and daily transactions, underscoring the growing significance of crypto ETFs in Brazil’s financial landscape.