BlackRock files for buffered Bitcoin ETF PBIT, still no Solana or XRP fund
In brief
- BlackRock filed a preliminary SEC prospectus on Monday for the proposed iShares Bitcoin Managed Protection ETF (PBIT).
- PBIT would use IBIT-linked options rather than holding Bitcoin directly.
- Each PBIT options tranche initially targets a maximum loss of about 10%, before fees and expenses.
- James Seyffart of Bloomberg called PBIT BlackRock's third Bitcoin ETF filing.
- BlackRock still has no US spot ETFs for Solana or XRP.
How PBIT would work
According to BlackRock's preliminary prospectus, PBIT would use three overlapping sets of options contracts, typically replacing one each month, to seek downside protection while limiting potential gains. Each tranche would initially target a maximum loss exposure of about 10% to the underlying Bitcoin-linked asset (before fees and expenses).
There's a catch.
BlackRock cautioned in the filing that the fund doesn't provide a fixed Tranche Protection Start Value, Floor or Tranche Cap Value, which implies investors could face greater losses than that target. PBIT is still only a proposal at this stage.
A third Bitcoin filing
Bloomberg ETF analyst James Seyffart said PBIT would mark BlackRock's third Bitcoin ETF filing. He noted that similar buffered Bitcoin funds already exist from Calamos, First Trust and Innovator.
The underlying fund is big. IBIT is the world's largest spot Bitcoin ETF by assets, with $65.7 billion in net assets as of Monday, according to BlackRock. The firm also runs the iShares Ethereum Trust ETF (ETHA), a spot Ether fund with $8 billion in net assets.
BlackRock entered the US spot Bitcoin ETF market in January 2024 with IBIT, then added ETHA in July 2024. The iShares Staked Ethereum Trust ETF (ETHB) came in March 2026 (offering exposure to Ether plus staking rewards), and the iShares Bitcoin Premium Income ETF (BITA), which is designed to generate income through options trading, followed in June. That's two Bitcoin funds and two Ether funds in the current lineup.
Still no SOL or XRP
BlackRock hasn't launched US spot ETFs tracking other cryptocurrencies such as Solana or XRP, and ETF Store president Nate Geraci questioned that continued absence in a post on X.
“Still shocked they’re sitting out on spot ETFs for SOL, XRP, HYPE, etc,” Geraci wrote on X on Monday.
That's Geraci's opinion, not a BlackRock statement. For now, BlackRock's crypto ETF lineup sticks to BTC and ETH, and the PBIT filing doesn't change that.
Frequently asked questions
How would BlackRock's PBIT ETF limit losses?
According to BlackRock's preliminary prospectus, PBIT would use three overlapping sets of options contracts linked to IBIT, typically replacing one each month. Each tranche would initially target a maximum loss exposure of about 10%, before fees and expenses, while also limiting potential gains.
Is PBIT's downside protection guaranteed?
No. BlackRock cautioned that the fund does not provide a fixed Tranche Protection Start Value, Floor or Tranche Cap Value, which implies investors could face greater losses than the roughly 10% target.
Does BlackRock offer Solana or XRP ETFs?
No. BlackRock has not launched US spot ETFs tracking cryptocurrencies such as Solana or XRP. Its crypto ETF lineup includes two Bitcoin funds (IBIT and BITA) and two Ether funds (ETHA and ETHB).
