BlackRock is preparing to introduce a new $BTC investment vehicle that blends direct spot exposure with income generation, according to a recent SEC filing.
The proposed iShares Bitcoin Premium Income ETF would hold Bitcoin directly, similar to BlackRock’s flagship IBIT ETF, but with an added layer: an actively managed covered-call strategy designed to generate yield.
Instead of relying on staking — which Bitcoin does not support — the fund aims to produce income by selling call options, primarily on IBIT shares. The premiums collected from these options would be distributed as yield, effectively trading some upside potential for consistent income.
This structure mirrors covered-call strategies already common in equity markets and increasingly popular in crypto-linked products. It also places Bitcoin ETFs closer to yield-generating $ETH or $SOL funds, which rely on staking rather than derivatives.
IBIT remains the largest spot Bitcoin ETF globally, managing nearly $70 billion in assets, and ranks among the fastest-growing ETFs in history. The introduction of a premium-income variant signals growing institutional demand not just for Bitcoin exposure, but for structured, risk-managed return profiles built around it.
If approved, this fund would further reinforce Bitcoin’s evolution from a pure speculative asset into a component of income-oriented portfolio strategies.
