BlackRock files for bitcoin ETF designed to limit losses while capping gains

BlackRock filed on Monday 19 October, US time, to offer a bitcoin-linked exchange-traded fund intended to give investors exposure to price gains while limiting losses, CoinDesk reported.

According to the filing quoted by CoinDesk, the proposed iShares Bitcoin Managed Protect ETF “seeks to provide upside exposure to the iShares Bitcoin Trust ETF and/or similar bitcoin exposure up to an approximate limit, while seeking to provide a level of downside protection.” CoinDesk said the filing did not specify how much protection the fund would offer or how much of bitcoin’s gains investors could capture.

The proposed fund would build on BlackRock’s iShares Bitcoin Trust (IBIT), which CoinDesk said manages more than US$65 billion and is the largest US spot bitcoin ETF. BlackRock introduced a bitcoin income ETF in June, the outlet reported.

Calamos Investments has offered similar protected bitcoin ETFs since early 2025. A Calamos spokesperson told CoinDesk that its Bitcoin Structured Alt Protection ETF – October had fallen about 1% since its one-year protection period began in October 2025. Over the same period, bitcoin fell as much as 52% from its record of about US$126,000, CoinDesk said.

CoinDesk reported that Calamos puts roughly 90% of these funds’ assets into US Treasuries and uses the remainder to buy bitcoin-linked options.

See also: Monday’s bitcoin ETF flows.