BlackRock files for iShares Bitcoin Managed Protection ETF, a risk-managed take on the asset class. The PBIT fund will not be a spot Bitcoin ETF as it will not hold the underlying asset. Unlike a spot Bitcoin ETF, PBIT would not own Bitcoin directly. Instead, it would use options linked to BlackRock’s iShares Bitcoin Trust ETF (IBIT).
BREAKING🚨 @BlackRock just filed for another Bitcoin ETF. This one will be a “buffer” Bitcoin ETF which will means it will offer downside protection but investors will give up some upside to get that protection. Ticker will be $PBIT. https://t.co/302iMwn2fR
— James Seyffart (@JSeyff) October 19, 2026
Three Sets Of Options, One 10% Loss Target
The proposed fund is designed to limit some downside exposure in exchange for capping potential gains. It would use three overlapping sets of options contracts, typically replacing one each month. Each tranche would initially target maximum loss exposure of about 10% to the underlying Bitcoin-linked asset before fees and expenses. BlackRock cautioned that the fund does not provide a fixed protection start value, floor or cap value, so losses could exceed the initial target.
Where PBIT Fits Beside IBIT & ETHA
IBIT, which holds Bitcoin directly, had $65.7 billion in net assets as of October 19, according to BlackRock. The firm also runs the iShares Ethereum Trust ETF (ETHA), with $8 billion in net assets, and has launched other options-based products, including a Bitcoin premium-income ETF. PBIT remains a proposed product subject to regulatory review. It would give investors a different exposure profile rather than removing Bitcoin market risk altogether.
Stay informed with the latest trends in Web3, blockchain innovation, and cybersecurity updates at 3verseTV
You need to login in order to Like
Leave a comment