BlackRock Rolls Out Bitcoin Income ETF as Demand for Covered Calls Grows

BlackRock is expanding its suite of BTC-linked products aimed at institutional investors.

BlackRock has launched its iShares Bitcoin Premium Income ETF (BITA). The move aims to expand its crypto product lineup beyond direct spot BTC exposure and into yield-focused strategies.

The new product is designed to give investors exposure to Bitcoin-linked performance while also generating income through an actively managed options strategy.

The product will target an annual yield of 15-25%.

ALL SET: the iShares Bitcoin Premium Income ETF $BITA is launching TOMORROW (tue). Confirmed by Nasdaq. Also, the ETF will target 15-25% annual yield while trying to capture at least 70% of bitcoin’s upside in process. pic.twitter.com/BK0M4cO4mj

— Eric Balchunas (@EricBalchunas) June 15, 2026

According to the official SEC filing, the trust will primarily sell call options on shares of BlackRock’s iShares Bitcoin Trust (IBIT), and may also use indices tied to spot BTC ETFs.

The structure resembles a covered-call strategy. In practice, it can generate option premium income. However, it also limits upside participation when IBIT or BTC itself rallies above the strike price of the written options. Of course, investors remain exposed to downside moves in both assets.

The launch comes as IBIT remains the world’s largest spot Bitcoin ETF. It currently manages over $50,9 billion in net assets, with daily volume sitting well above 50 million shares.

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