BlackRock to launch Bitcoin ETF in Brazil

BlackRock unveiled its partnership with Brazil’s B3 stock exchange to launch the iShares Bitcoin Trust ETF’s Brazilian Depositary Receipts on Thursday.

The impending launch marks BlackRock’s first foray into the Brazilian cryptocurrency ETF market, with trading set to commence for qualified investors on Friday. The ETF, initially introduced in the United States in January, will soon be accessible to retail investors in Brazil.

The Bitcoin ETF, trading under the code IBIT39, aims to replicate BTC‘s performance and introduces a management fee of 0.25%, temporarily reduced to 0.12% for the first $5 billion in assets under management. Unlike direct shares, Brazilian Depositary Receipts (BDR) lack tax exemptions akin to those for local share sales under $20,000.

“Our digital asset journey has been underpinned by the goal of providing high-quality access vehicles to investors,” said Karina Saade, Blackrock’s Brazilian Country Manager. “IBIT39 is a natural progression of our efforts over many years and builds on the fundamental capabilities we have established so far in the digital asset market.”

Saade also emphasized the ETF’s role as a vital component of the company’s strategy in the digital asset space, marking a step forward in aligning with BlackRock‘s long-term vision for digital assets.

Felipe Gonçalves, B3’s superintendent of Interest and Currency Products, noted the ETF as an opportunity for investors to diversify their portfolios with Bitcoin exposure, reflecting the global surge in interest towards cryptocurrency investments.