BlackRock filed on Monday to launch the iShares Bitcoin Managed Protect ETF, a fund that seeks to limit losses while keeping exposure to bitcoin's gains. The filing follows Calamos' protected bitcoin funds, one of which dropped just 1% while bitcoin fell as much as 52% from its record high.
BlackRock filed on Monday to introduce the iShares Bitcoin Managed Protect ETF, a product that would give investors exposure to bitcoin's gains while seeking to limit losses when the cryptocurrency falls. The world's largest asset manager is following a similar approach to products from Calamos Investments.
Calamos fund held up through the selloff
The Calamos Bitcoin Structured Alt Protection ETF – October (CBOO) dropped just 1% since its one-year protection period began in October 2025, according to a Calamos spokesperson. Bitcoin, in contrast, tumbled as much as 52% from its record high of roughly $126,000.
Calamos debuted its first three protected bitcoin ETFs in early 2025. They offer a choice between full downside protection and funds that limit losses to 10% or 20% over a set period. The firm puts roughly 90% of the funds' assets into U.S. Treasuries and uses the rest to buy bitcoin-linked options.
What BlackRock's filing says
BlackRock said in its filing: "The Fund seeks to provide upside exposure to the iShares Bitcoin Trust ETF" and similar bitcoin exposure, up to an approximate limit. The filing did not say how much downside protection the fund would offer or how much of bitcoin's upside investors could capture.
The proposed fund would build on the iShares Bitcoin Trust (IBIT), which manages more than $65 billion in assets and is the largest of the U.S. spot bitcoin ETFs introduced in 2024.
BlackRock widens its bitcoin lineup
Calamos' strategy has found an audience. Matt Kaufman, Calamos' head of ETFs, said in May that the protected funds had attracted between $10 million and $15 million over several weeks, even as spot bitcoin ETFs saw outflows.
BlackRock has also moved beyond funds that track bitcoin's price. In June, it launched the Bitcoin Premium Income Fund (BITA), which sells call options on roughly 25% to 35% of its portfolio to generate monthly income.
Source: CoinDesk
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